April 13, 2021 News & Events

Recognising remarkable resilience: Resetting manufacturing operations saves Tasmania’s Novaris

Recognising remarkable resilience: Resetting manufacturing operations saves Tasmania’s Novaris

Family-owned Novaris, Tasmania’s electrical componentry manufacturer, had to quickly re-evaluate its operations and innovate after COVID-19 significantly impacted access to suppliers and manufacturing. Established in 1995, Novaris provides custom designed products to prevent equipment damage caused by direct lightning strikes, surges and other electrical disturbances on power and data signalling lines.

Novaris also provides signal protection for control systems, rail applications, data networks and communication facilities across its two manufacturing facilities in Australia and Malaysia. Diane Tompson, Novaris Managing Director and joint founder with husband Phillip, said she sensed trouble and began to worry in early January, after unexpected supply issues started to occur.
“All our Chinese suppliers of specialised componentry such as printed circuit boards, capacitors, resistors used in the assembly of products in Australia were unable to be shipped – production just ground to a halt,” said Ms Tompson.
“Our fears and concerns were heightened in February, when the Malaysian Government shut down the country and with less than 12 hours’ notice, we were forced to halt production at our factory.
“Employers were told to pay their staff for the entire time workers were at home and unable to work. Our sales manager based in Malaysia returned home to Singapore before the deadline prevented him from entering the country.
“We had no time to ship partially constructed products back to Australia to finish projects for our clients across Asia-Pacific, Europe, Africa and the Middle East. “Added to this, work orders didn’t stop coming in. Demand for products became far greater than we expected. “Requests to supply small signal lines used in switch boards by board builders were also coming in, but we didn’t produce them in Tasmania,” said Ms Tompson.
In Australia, having access to specialist parts was also critical given the array of clients Novaris services such as Queensland Rail and Victoria Rail. The company also manages the rail infrastructure in the Pilbara, Western Australia owned by BHP and Rio Tinto.
Looking for solutions, Novaris made numerous applications to the Malaysian Government asking for special permits to re-open as an essential services company but all were knocked back – until DFAT Kuala Lumpur stepped in. “DFAT KL and the consulate staff were fabulous. After we contacted them for help, DFAT told us to re-apply. After we re-applied, we were advised later that same day permits would be issued. The irony was the staff member who helped us get the permit was originally from Tassie too,” said Ms Tompson.
“Our staff who come from mostly small villages, were elated to be back working and earning an income and we were too. The closure had placed significant financial strain on our resources and we were worried we’d run out of funds,” said Ms Tompson.
Philip Tompson, joint founder and Director of R&D, said through DFAT’s assistance they were allowed to get nine of their 40 workers back into the factory to arrange shipment of stock needed to finish projects in Australia. “Our first priority was ensuring our staff would be safe. We then immediately made all senior staff work from home and salespeople used Zoom and the phone to connect with our distributors and partners; as travel was no longer a luxury we could afford,” said Mr Tompson.
“The greatest change was making our Australian factory more flexible in its manufacturing abilities. We went from a company with clearly defined parameters of small product manufactured in Malaysia and larger devices in Australia, to completely different products being produced in Australia,” he added.
The Hobart-based factory had focused on research and development, factory testing and large manufacturing and had limitations to produce specific and small products which led to the expansion into Malaysia in 2003.
April 12, 2021 News & Events

How to set your business up for export success: An effective strategy

How to set your business up for export success: An effective strategy

If you have plans to expand internationally, it is important to ensure that you are set up for success. An effective export strategy is key for every business considering going global. Whether you’re already exporting your products or services, part of an export-related supply chain, looking to expand overseas, or a business in emerging and frontier markets.

There are five key steps that Export Finance Australia has identified as key when setting up your business to export:

1. Develop a robust export strategy, and stick to it.
2. Consider the positioning of your product or service in a new market.
3. Build an experienced and flexible team.
4. Identify strong local partners.
5. Test, test, and test again.

Shaping your export strategy

If sharing your products or services with the world is part of your business vision, then your export strategy should form an integral part of your business plan.

While your strategy doesn’t need to be complicated, it should be comprehensive. At a minimum, your strategy should cover the following:

• Target market
Identify and explore the country or countries that you will target and assess the size of the market.
• Regulatory requirements
Be sure you are aware of and understand the government standards that you will need to adhere to.
• Financial resources
Assess what capital you require for growth overseas, including costs and expenses.
• Market positioning
Identify which market segment your product or service will be positioned in within each country.
• Staff
Consider the size of your current team and how much you project that headcount will need to grow.
• Competitors
Have a solid understanding of who your competitors are in each country, including their strengths and weaknesses.
• Product
Assess and highlight whether your product needs to be adapted for each new market.
• Distribution strategy
Outline how you will distribute your product or service. How will you service your customers?
• Domestic business overview
Highlight the current status of your domestic business.

Managing your finances to make more possible

Your financial status is a fundamental factor in achieving export success.

Regardless of the sector you operate within, it is likely you may require help with finance to support your international growth journey. It is important to understand the different finance solutions available for you.

Having your export strategy in place will be a useful tool in identifying what financial help you may need.

Whether it is to support expansion overseas, fulfilling international orders or to accommodate fast growth due to international opportunities, if your bank is unable to help, it is important to understand where you can acquire alternative sources of finance if needed.

Export Finance Australia, could provide a range of finance options, including unsecured and direct loans, bonds to secure export-related projects, and guarantees to secure bank finance.

If you would like information on whether exporting is right for your business, insights on entering a new market, or steps on how to manage export risks, you can access Export Finance Australia’s free resources here.

Support for you to take on the world

 

If you would like to find out more about Export Finance Australia’s solutions, get in touch by calling 1800 093 724 or visit exportfinance.gov.au.
April 1, 2021 News & Events

India: Emerging Opportunities for NSW Exporters amid COVID-19

India: Emerging Opportunities for NSW Exporters amid COVID-19

India is one of the world’s fastest growing economies, with a population of more than 1.3 billion and an expanding middle class. A ‘top 5’ economy undergoing ambitious reforms, it is an attractive market for Australian exporters.

Despite the economic impact of COVID-19 in 2020, there is strong and growing demand for Australian goods and services. A fast-growing middle class, rapid urbanisation and a stable, reformist government underpins this demand.

Join the Export Council of Australia, Department of Foreign Affairs and Trade and economic and private sector experts to hear why you should be considering India, and get insights on getting into market.
In our free webinar, we will discuss the India-Australia commercial proposition, market entry and the support available to NSW businesses looking to expand into India.
We will also speak to three experienced exporters, who will walk you through ‘how they did it’, as they share their successes and pitfalls exporting to India.
Speakers:
  • Dianne Tipping, Chair, Export Council of Australia
  • Barry O’Farrell, Australian High Commissioner to India, former Premier of NSW
  • Peter Varghese, Chancellor of the University of Queensland, former Secretary of the Department of Foreign Affairs and Trade, author of the India Economic Strategy
  • Anil Wadhwa, former Secretary (East) Ministry of External Affairs, lead author of the Confederation of Indian Industry’s Australia Economic Strategy
  • Jai Patel, Head of India Business Practice, KPMG
  • Leon Skaliotis, General Manager, Flavourtech
  • Tim Regan, Chief Operating Officer, The George Institute for Global Health
  • Margaret Faux, Solicitor, Founder & CEO, Synapse Medical
  • Kylie Bell, Executive Director – Trade, Investment NSW
March 29, 2021 News & Events

Recognising remarkable resilience: Harnessing technology to deliver world-class cancer care.

Recognising remarkable resilience: Harnessing technology to deliver world-class cancer care.

For the Icon Group, delivering world-class cancer care across Australia, New Zealand and Asia has required extensive travel to train staff and support its cancer centres and other sites.

The COVID-19 pandemic has transformed the way they work, with teams embracing cutting-edge technology including augmented reality headsets to continue delivering essential care.
The Icon Group is Australia’s largest dedicated provider of cancer care. In 2019, it became the first Australian healthcare company to deliver cancer treatment in China, establishing a radiation oncology service in Jiangxian, and was due to open new cancer centres in Chongqing and Qingdao by the end of 2020.
When COVID-19 hit China, Icon withdrew its operational training and clinical support teams to ensure their safety. “One of the things I was most concerned about was whether this would impact on our ability to bring world-class care to those regions in China, where highly experienced cancer treatment teams are very difficult to resource,” says Mark Middleton, Icon Group’s Chief Executive Officer. “That’s the whole premise of what we’re doing and why partners want to work with us.”
Icon had to act quickly. The team rapidly rolled out a remote learning model with face-to-face online classrooms and an online self-paced learning platform in dual language. To replace in-person assessments, Icon deployed augmented reality headsets, allowing clinical experts in Australia to watch, guide and assess their China counterparts in real-time.
“I’ve seen some amazing work where Australian nurses are educating on the delivery of chemotherapy in Asia,” says Mark. “We’ve got quality assurance being done on our radiation therapy machines in China under supervision of a medical physicist here in Brisbane. The augmented reality headsets are a really powerful tool.”

Innovation without limits

Icon’s innovative response has been hugely successful, ensuring teams can continue to deliver training and high-quality care across China and the world. The opening of the new cancer centres remained on track, with Chongqing opening in November and Qingdao in December. Icon received excellent feedback from China-based team members, and the China and Australia teams are more connected than ever before.
“The ability of our team to pivot and deliver essential clinical education and quality assurance tools in a matter of months was simply outstanding,” says Mark. “Innovation has always been at the heart of Icon, and before COVID, we were already using remote capability. However, COVID made us take it a step further.”
Icon is now rolling out these tools and technologies across its network in Australia, Singapore and New Zealand, so teams can continue to support clinicians without travelling.
“I’ve been so proud of the Australian and Chinese teams, who have never lost sight of our vision and just found ways to get it done,” says Mark. “I’m lucky enough to be in a position to support our people, cheer them on and watch them do amazing work.”
“Moving forward, for us it’s about letting go of restraints that we always thought we were bound by, and finding ways to move forward safely and with the same level of quality and focus on outstanding patient care.”
March 18, 2021 News & Events

While there are opportunities, Australian exporters continue to face obstacles

While there are opportunities, Australian exporters continue to face obstacles

Australian exporters are facing challenges that are unprecedented in scale and coming from multiple fronts.

Covid-19 might soon be under control with the roll-out of vaccines, but global supply chain conditions will remain difficult in the immediate term.

Other issues might prove even more problematic for exporters, including as a result of geo-economic competition and application of border taxes to address climate change.

In its Trade Policy Recommendations 2021 paper, the Export Council of Australia discusses these and other key international trade issues.

The ECA encourages the government to focus its ‘diversifying trade’ efforts at small and medium sized exporters. That is where it will get the best return for its investment.

Digitalisation of trade documentary requirements must be accelerated, and supply chain costs must be better managed in order for Australia to remain competitive.

Resilient global supply chains must be viewed as a national security issue, and thus will require strategic partnerships with relevant countries and governments.

As growth in trade in services outpace trade in goods, fueled by advances in technologies, there is room to boost Australian services export performance.

Australia can demonstrate to the world how ‘inclusive’ trade can work, including by building the capabilities of and creating opportunities for Indigenous businesses to export.

The government and business need to explore ways to price the cost of carbon emissions, in line with global efforts, to ensure Australian enterprises are neither penalised nor competitively disadvantaged.

The opportunities are before us. However, we must take appropriate and decisive action. Business and government can work together to realise a competitive and sustainable future.

To download ECA’s Trade Policy Recommendations 2021 paper, click here.
March 18, 2021 News & Events

No one Halal certification is acknowledged in all export markets

No one Halal certification is acknowledged in all export markets

Halal certification is an important standard for many food and beverage businesses. When exporting, this certification is vital to enter some markets. Within Australia there are a number of Islamic Bodies that are authorised to issue Halal certificates for companies wishing to be certified. However, there is no consistent acknowledgement of these organisations across all export markets.

An Australian exporter had its certification approved by the Western Australian Halal Authority (a recognized certifier by the Australian Department of Agriculture). Before they began to export their produce to Singapore, they ensured that their plants in WA were accredited.

Despite possessing a Halal certification, this exporter found itself unable to sell its beef in Malaysia since the Department of Islamic Development Malaysia (JAKIM) did not acknowledge that particular Halal certification.
This has been an ongoing barrier that has barred them from conducting business in Malaysia, costing the business more than $20,000 AUD.
The main barrier that has emerged is that there is not one internationally recognized Halal certification in Australia. In order for this exporter to sell its produce in Malaysia, they must apply for an alternative Halal certification that is recognized by JAKIM. One organisation that meets this criterion is Perth Mosque Incorporated.
This barrier was launched on the Trade Barriers Register by the exporter in 2020. The Export Council of Australia has since provided its support throughout the process, advised by the Australia Malaysia Business Council.
REGISTER A TRADE BARRIER
March 18, 2021 News & Events

Digital tools to help Australian businesses

Digital tools to help Australian businesses

Australian Government today launches a range of digital tools to help Australian businesses to reach new international markets and customers. The export.business.gov.au website features interactive market insights, trends as well as information on grants, funding, local laws and regulations, distribution and shipping.

The Government funded the site through its $21.4 million commitment for a Trade Information Service to support Australian businesses to access new international markets.

Minister for Trade, Tourism and Investment Dan Tehan said the tool would help Australian businesses grow and reach new customers.
“International trade supports Australian businesses and Australian jobs, that’s why the Morrison Government is helping businesses find new markets and new opportunities for their products,” Mr Tehan said.
“Australia posted a record calendar year trade surplus of $72.7 billion in 2020 and our efforts to encourage trade diversification are already paying off with a number of agriculture products finding new markets in Vietnam, Indonesia, Egypt, Hong Kong, the United Kingdom and Korea.
“These tools will help drive more market diversification and encourage more Australian businesses to engage in international trade, which is good for jobs and the economy.”
Minister for Industry, Science and Technology Karen Andrews said Austrade’s export services would be available through easy to navigate, self-service tools, insights and advice on demand.
“To grow Australian industry and create new local jobs, we need our businesses to tap into new markets around the world – and export.business.gov.au will bring Austrade’s insights and advice, into one easy to use place,” Minister Andrews said.
Export Council of Australia Chair Dianne Tipping said there was enormous potential for businesses to embrace innovative digital offerings.
“If you’re thinking about going global, but unsure where to start, Austrade’s digital export services can take the guess work out of the research process and fast-track your export journey,” Ms Tipping said.
“For those new to export there’s a quick check-list to understand the market potential for your product, pointing to further information on the opportunities and challenges in your chosen market.”
AUSVEG National Manager for Export Development Michael Coote said Austrade’s digital export services had practical benefits for the agricultural sector.
“This is an important tool for Australian businesses seeking to navigate the complexities of exporting agricultural produce – and a useful platform for both new exporters considering established export markets, and existing exporters looking to enter emerging markets,” Mr Coote said.
“Agri-businesses looking to capitalise on growth and stay one step ahead of a rapidly changing export landscape can more readily access Austrade advice and insights on top-performing markets to inform their trade and diversification strategies to expand and take advantage of the opportunities available through export.”
For further information go to www.export.business.gov.au.
March 16, 2021 News & Events

Meeting with Senator the Hon Penny Wong

Meeting with Senator the Hon Penny Wong

The ECA recently met in Sydney with Senator the Hon Penny Wong (Shadow Minister for Foreign Affairs) to discuss current trade challenges and opportunities.

Thanks to Senator Penny Wong and this amazing group of exporters who joined in the discussion:

March 15, 2021 News & Events

Australian Export Awards recognising remarkable resilience: SA Winery pivots to futureproof its business.

Australian Export Awards recognising remarkable resilience: SA Winery pivots to futureproof its business.

When winemaker Bec Hardy took over the Pertaringa brand from her father to add to her existing wine business, she never expected to be doing it during a global pandemic. But this unprecedented challenge prompted her to pivot in bold new ways.

Based in McLaren Vale, Bec is the first female winemaker in a six-generation wine family. Alongside her husband, Richard Dolan, she managed the brands within her father’s business, Wines by Geoff Hardy, growing exports by 2,300% and increasing production almost five-fold in the past eight years. Bec also crafts premium wines under her own label, Bec Hardy Wines.
In 2020, as part of the Hardy family’s succession planning, Bec and Richard acquired the 40-year-old Pertaringa brand. But then the pandemic hit, and the future suddenly seemed uncertain.
“We began to question whether the business was totally viable going forward,” says Richard, who is Joint Managing Director at Bec Hardy Wines. “It required us take a huge leap of faith.”
With overseas travel halted, the international relationships that Bec and Richard had nurtured over the years – and which were needed to ensure a smooth transition of the business – were in jeopardy. Distribution channels were impacted and business growth was threatened. Bec and Richard also had to close the cellar door, which meant another blow to revenue.
Carving out new paths to success
To keep the business going and successfully transition the Pertaringa brand, Bec and Richard had to think differently. Inspired by strong family role models, including Richard’s 84-year-old father who still helps out in the winery, they forged ahead.
“While export could not continue in the same way as before, we remained optimistic and decided to focus on what we could control, not what we couldn’t,” says Bec.
That meant shifting their focus from overseas markets to Australia. They took the opportunity to grow brand awareness domestically, securing media coverage through public relations and strengthening their digital presence.
These efforts paid off: online sales soared, hitting a high point one day in April when sales increased eight-fold on the previous highest sales day. Bec and Richard also created some unique onsite tourism experiences and made improvements to the cellar door.
To help futureproof the business, Bec and Richard adapted and diversified their export strategy to target nine new markets (previously about 60 per cent of products went to China).
The US is their top priority market, followed by Asian markets including Japan and Korea. Looking ahead, they also plan to target the UK and Europe.
“A lot of work we’re doing now has a domestic audience but there’s also an international aspect, to position the business for when borders reopen,” says Richard.
As a result of Bec and Richard’s quick decision-making and courage to pivot, Bec Hardy Wines, which now incorporates the Pertaringa brand, has not just survived but grown in new ways. The domestic brand is stronger than ever, export sales have continued and the business has a strategy to support global expansion as the world emerges from the pandemic.
“Sure there are lots of challenges now, but it’s also a great opportunity to build a stronger business for the future,” says Richard. “Where can you make a different dollar if an opportunity is closed? If you can get through this, then you’re going to be able to face anything.”
March 2, 2021 News & Events

ECA Featured Member: Explorate

ECA Featured Member: Explorate

ECA member Explorate story began in a dusty freight forwarding warehouse in Brisbane during November 2012, when Conor Hagan was tasked with showing Alex Ewart, a recent graduate of international business, the world of international logistics.

It started like any other day in logistics back then, by sending a fax.
A relationship formed over a mutual interest in supply chains and technology.
Four years and many faxes later, these colleagues turned into co-founders and created Explorate.
Explorate is creating a simpler way to do complicated shipments by developing it’s own online platform. Built by logistics experts and powered by cutting-edge technology, we empower our shippers with instant quotes and bookings, real-time track & trace, digital dashboards and faultless workflow management.
Explorate joined the ECA in November 2020, becuase they wanted to be part of an organisation with like minded companies and people who are challenging the status quo to traditional industry.
Explorate kicked off around 5 years ago, and they specialise in the International Freight forwarding space however they’ve been doing it a little bit differently to the traditional guys in the industry.
They’ve built out their very own technology in house steering away from the traditional software solutions that the majority of freight forwarders use and utilising this to change the way their clients interact with their supply chain.
They have been exporting since the business commenced, exporting everything from Large Machinery to be sold at overseas auctions to Zinc Powder which is a key ingredient in the manufacturing process of sunscreen.
Of course, 2020 brought them many challenges which they had to adapt to, from wharf closures, rates skyrocketing & empty equipment being scarce. They had to accept that delays were imminent and a key factor was making sure the communication and transparency between Explorate and their clients was crystal clear. Their application helped immensely with this as well as introducing live tracking which updated their customers in real time on any delays without the operations team having to manually track anything.
Their plan for 2021 is to continue the path of rapid growth, withsome extremely exciting new features being introduced into their application which will translate into their customer experience.
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