The Australian Labour Government is convinced that Australian exporters are not exporting enough. Partly for this reason the Government has instituted a review of Australian trade policy. But even before this review is completed the Government in Canberra is taking action by increasing the value of an export subsidy programme - the Export Market Development Grant.
The scheme's funding will be increased by $50 million. Changes to the scheme include increasing the maximum grant by $50,000 to $200,000, raising the turnover of eligible businesses from $30 to $50 million, reducing the minimum expenditure threshold by $5,000 to $10,000 and by allowing the cost of overseas patenting to be claimed. Grants would also be available to regional and industry groups that promote Australian exports.
The New Zealand Government made change to the New Zealand Export Market Development Scheme for Export Year 2007. It will be interesting to see whether the Australian policy announcement will see New Zealand following suit in this year's budget.
