Many are the costs, procedures and documents required in the business of shipping things into Australia from abroad, but it seems few are the ways to mitigate them wholesale. To assist in these struggles, the government certainly takes several measures to help.
One of these is the Tradex Scheme.
As it says on the scheme’s official site. The scheme’s objective is to:
Provides exporters with an upfront exemption from Customs Duty and GST for goods imported into Australia and then exported within one year. For the benefits, you must hold a Tradex order before you import your goods.
The scheme is also more-or-less aimed strictly at local enterprises who require the importation of certain raw materials and products in order to export them within the year. Its requirements definitely emphasize being corporated entities in order to apply.
Furthermore, Tradex cannot be used to help export goods in brand stores or establishments that label themselves duty-free. The restrictions on exporting excise products such as tobacco and alcohol will continue to apply.
Other than that, participating and qualifying your desired goods is very straightforward.
All you have to do is apply for a Tradex order and nominate the goods you need to be shipped in. The official site has the form you will be using and you also don’t need to worry about filing separate ones for future shipments.
That, however, also means that you must be very comprehensive in the list of goods you wish to nominate (all while also paying close attention to the requirements). Fortunately, there is no limit to how many you can nominate provided that they are exported within the year.
Of course, some of the requirements are also designed to ensure that this yearly export due is met. You must have sufficient accounting and record-keeping systems in place to ensure that everything is tracked (and on-schedule).
Without a doubt, your enterprise must make the most of the flexibility that the export requirements describe. These include:
- Exporting the goods in the same condition as imported.
This means Tradex can be a useful way to streamline any logistics that require goods to make stops at Australia en route to their final destination.
- Processed or treated before exportation.
By this, it obviously means you can use Tradex to reduce the costs of your supply chain should the processing of the imported materials take place in Australia before shipping off the final product.
- Incorporated the nominated goods with other goods which are exported.
It also applies to goods that are arranged in specific packages for the consumption of foreign markets.
There are certainly many export strategies your business can deploy in order to meet any of the three requirements so really file your Tradex order with a good deal of forward-thinking. Done right, however, and that order can save a tremendous amount of costs in terms of exempted duties in your logistics and supply chain.