FTA / APSA - Government Affairs Report

Monday, January 23, 2017

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Positive engagement on a range of operational issues, communications and events.
FTA followed up with the department on an Expression of Interest to join the membership of the Imports Industry Finance Consultative Committee (IIFC) to influence reforms affecting members in terms of ongoing payments of the $2,900 Approved Arrangement fee.

Briefing provided in preparation for the FTA/ APSA meeting with the Australian Border Force Commissioner on 27 February 2017.
Positive engagement on communications and events.
Discussions centred on policy reforms including the need for a follow up forum on Australian Trusted Trader initiatives such as MRAs, alternate cargo reporting, duty deferral and assembly orders.

We met DIBP representatives and subsequently received feedback from Treasury in response to our submission on the draft legislation – for further detail please click HERE.
FTA has expressed serious concerns about rushed industry engagement to complete the legislative drafting before Parliament sits again in early February with Royal Assent to be a formality. Despite our advocacy for an extended implementation timeframe, the government (and states) are clearly focussed on the need to collect additional GST revenue. We are following up by meeting Russell Zimmerman (CEO Australian Retailers Association) tomorrow to gauge their views on the reform and whether the legislation meets the needs of the retail sector.
Complexity exists in terms of processes affecting overseas vendors – FTA's primary focus remains on issues directly affecting freight forwarders, express carriers and customs brokers – we are pleased to advise that these are being addressed as DIBP continue to closely engage with all major software developers and we have reassurances that compliance activity will be conducted on a retrospective basis with cargo not to be impeded at the Border.
Whilst FTA will continue its advocacy, we highly recommend that you and / or your clients pull out all stops to have systems and processes in place because at this stage it is unlikely that we will obtain any variation on a 1 July 2017 implementation.

FTA met with Leigh Obradovic in his role as Ministerial Advisor examining policy issues and a particular focus on short to mid-term opportunities in facilitating trade with India.
The Minister's office gave a commitment to continue close engagement with the APSA membership on policy reforms and the development of a project pilot.

FTA met with the Director of Freight Policy, Mr Anthony Swan, regarding the National Freight Inquiry, a process that will commence this year and precede the National Freight Strategy. The inquiry will be an important industry event, unpacking issues relating to capacity, productivity and individual case studies of market failure (such as the shortage of FQ containers this year after harvest).
FTA & APSA look forward to providing input into the process. We would also like to acknowledge the Department's support and participation in the upcoming Tasmanian Shippers Forum.

Final industry engagement with a focus on potential changes to Sec 77G Depot / Sec 79 Warehousing licence applications, ongoing role of the National Customs Brokers Licensing Advisory Committee (NCBLAC) and the structure of customs broker licensing – FTA report is available HERE
DIBP will provide draft recommendations in early March with the production of a final report to be presented to the Comptroller-General by 31 March 2017