Industry has swamped the Australian Border Force with requests to join the Australian Traded Trader (ATT) program providing a platform for what promises to evolve into a world leading customs regime.

As a member of the Industry Advisory Group (IAG), Freight & Trade Alliance (FTA) representatives joined industry colleagues at the formal ATT program launch in Melbourne on Friday 20 August 2016. Keynote addresses were provided by Minister for Immigration and Border Protection, the Hon. Peter Dutton MP,  the Assisting Minister for Trade, Tourism and Investment, the Hon. Keith Pitt MP and the Australian Border Force Commissioner, Roman Quaedvlieg prior to a series of workshops focussing on "whole of government", "beyond the launch" and "Mutual Recognition Agreements".

Minister Dutton stated that the ATT sets a new international benchmark in Authorised Economic Operator (AEO) programs. Importantly, the program is "inclusive" and available to all trade entities, big or small, that can demonstrate a secure supply chain and effective trade compliance practices. To that end, the Minister announced that over one third of the initial applications to join the program have come from small business.

The Minister explained it will allow the Australian Border Force to deploy resources more effectively while providing industry a suite of benefits by "removing red tape, expedited movements of cargo, streamlined reporting, accelerated border clearances and the option to defer duty". Sitting alongside Free Trade Agreements, the ATT will ensure that businesses and the Australian economy are able to grow through the introduction of new trade initiatives. 

The Hon. Keith Pitt congratulated the Australian and New Zealand administrations for establishing a Mutual Recognition Agreement (MRA) highlighting that 1 in 5 of every new Australian job created in recent years has been generated by growth in international trade. Complementing the ATT and MRA programs, it was highlighted that the Department of Foreign Affairs and Trade (DFAT) is playing its part with a focus on upcoming negotiations with Indonesia, Singapore, the Trans Pacific Partnership, European Union, UK and the Regional Comprehensive Economic Partnership. 

The Commissioner's statement focused on the aim of the ATT to cover 30% of trade volume and 50% of value by 2020. 

The Commissioner noted that there was a rush of entities applying to join the program since going live on 1 July 2016 receiving in excess of 300 applications, a high proportion being service providers (such as customs brokers, freight forwarders, transport operators and terminal operators). The Commissioner proudly stated that of the 180 countries represented in the World Customs Organisation, Australia is the only to formally recognise service entities. The Commissioner also thanked and acknowledged the 41 trading entity and service provider pilot participants before a presentation ceremony formally recognising the first four fully accredited ATT entities being Teys Australia Beenleigh, Target Australia, Pacific Brands, and Techwool.

PHOTO - courtesy of the Australian Border Force

The workshops involved representatives from DFAT, the Office of Transport Security, Department of Agriculture and Water Resources and the Australian Border Force, mixed with IAG representatives and pilot program participants.  

Pilot participants and those already accredited sung the praises of having access to an account manager to address operational matters and claimed that this alone has already provided a significant benefit by providing a dedicated conduit to government agencies. Other more tangible benefits are yet to come with duty deferral to be accessible in the 2017/2018 financial year and periodic declarations to follow. Formal consultation on any variation in Import Processing Charges will commence in 2017 and will align with implementation of new reporting regimes. 

From a service provider perspective, perhaps the most significant benefit at this stage is that their ATT status will dovetail into any importer or exporter application to satisfy that element of the secure supply chain review. In parallel to this, we continue to work with the Australian Border Force and FTA members on assembly order reforms, streamlined cargo reporting and bespoke underbond movement arrangements.

What has become clear is that the more immediate benefits are likely to flow tor Australian exporters. Beyond the MRA with New Zealand, "statements of intent" and initial negotiations are in place with the Republic of Korea, Singapore, Hong Kong, Canada and China with more to follow. 

Here is where we have our most significant opportunity to have an impact. 

Through our partnership with the Australian Peak Shippers Association (APSA), we will be engaging with Australian exporters and freight forwarders over the coming months to identify opportunities to facilitate easier access to market in foreign jurisdictions. We value your input as we take the lead in supporting the Australian Border Force in this important reform.

Contact me at pzalai@FTAlliance.com.au or Travis at tbrooks-garrett@FTAlliance.com.au 

Paul Zalai - FTA

Need to know more?

As a part of our upcoming CPD & CBC - Border and Biosecurity Compliance Program events, we will be focusing on exporter and freight forwarder reforms associated with ATT, cargo reporting, MRAs and the "known consignor" / piece level examination of airfreight to the USA.

• Full day (15 CPD points - 11am to 5.15pm) and networking function - $275 (incl GST)

• Afternoon session with OTS / Australian Border Force and networking function - $82.50 (incl GST)

Full Day - Wed 7 Sept 2016 - Novotel, Brisbane Airport

Afternoon - Wed 7 Sept 2016 - Novotel, Brisbane Airport

Full Day - Wed 21 September 2016 - Novotel, Brighton Le Sands

Afternoon - Wed 21 September 2016 - Novotel, Brighton Le Sands

Full day - Wed 19 October 2016 - Mantra Hotel, Tullamarine

Afternoon - Wed 19 October 2016 - Mantra Hotel, Tullamarine