Unlike some countries, there is no mandatory requirement in Australia to use only Australian suppliers. To support internationally competitive projects the Australian Government has created a regulatory environment that provides the flexibility to secure the best possible goods and services, no matter what their country of origin.
The Enhanced Project By-law Scheme (EPBS) provides concessions from tariff duty for eligible goods for inclusion in projects, where expenditure on capital goods for the project is $10 million or more. In order to qualify for these concessions, however, applicants must produce an approved Australian Industry Participation Plan (AIP) under which they provide Australian suppliers with full, fair and reasonable opportunity to participate in major projects.
The EPBS assists Australian industry by:
The EPBS removes the need to obtain multiple concessions from the Australian Customs Service and aims to ensure that Australia remains a competitive and attractive option for major international investment. Since the scheme’s inception, AusIndustry has received 398 applications worth more than $179 billion. Major users of the program include the mining sector with projects worth $87 billion, gas supply projects worth $23 billion, resource processing worth $22 billion, water supply projects worth $21 billion and the manufacturing sector worth $15 billion.
An Australian Industry Participation Plan (AIP) is an undertaking to ensure that Australian suppliers are given full fair and reasonable opportunity to participate in major projects.
The AIP must demonstrate that Australian suppliers will be informed of opportunities and will be considered on their merits alongside non-Australian companies. The AIP must articulate the steps taken to ensure that non-Australian suppliers will only be awarded contracts where machinery and equipment, or their components, which are integral to the project :
the Australian made product.
There is a strong emphasis on industry development, in particular the formation of strategic alliances, to position capable Australian industry to leverage opportunities and integrate into global supply markets.
The bottom line for non-Australian suppliers of goods and services is that the prospects of being invited to tender for an Australian project contract will be enhanced if there is a relationship with an Australian supplier (as a prime contractor, sub-contractor, joint venture partner or alliance partner).
Supplybase invites registrations from international as well as Australian suppliers. In this way an Operator can quickly identify a company capable of supplying a specific requirement irrespective of its country of origin.
Non-Australian suppliers can also use Supplybase as a capability directory to identify appropriate Australian companies with a view to establishing an alliance or relationship. To encourage this use Supplybase only accepts registrations from non-Australian companies at the Gold or Platinum levels which include the facility to search the database by product code or keyword.
Want to know more?
Read about the various membership options, or View the Supplybase VRS Flash Movie
If you need any further information contact admin@supplybase.com.au.