Australia, 2004
Chapter 1 : Tariffs[1] |
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Objective
APEC economies will achieve free and open trade in the Asia-Pacific region by:
a. progressive reduction of tariffs until the Bogor goals are fully achieved; and
b. ensuring the transparency of APEC economies’ respective tariff regimes.
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Guidelines
Each APEC economy will:
a. take into account, in the process of achieving the above objectives, intra-APEC trade trends, economic interests, sectors or products related to industries in which this process may have positive impact on trade and on economic growth in the Asia-Pacific region and developments in the new economy;
b. ensure that the achievement of the above objective is not undermined by the application of unjustifiable measures; and
c. consider extending, on a voluntary basis, to all APEC economies the benefits of tariff reductions and eliminations derived from sub-regional arrangements.
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Collective Actions
APEC economies will:
a. participate and ensure the expeditious supply and updates of the WTO Integrated Database and any other APEC databases;
b. arrange for seminars and/or workshops on industrial tariffs negotiations in consultation with international organisations, where appropriate, including WTO Secretariat on WTO Integrated Tariff Database;
c. study lessons from modalities for tariff reduction and elimination in regional arrangements; and
d. encourage the accession of all economies to the WTO Information Technology Agreement, including the adoption of ITA provisions by non-members of the WTO.
The current CAP relating to tariffs can be found in the Tariffs and Non-Tariff Measures Collective Action Plan |
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Australia’s Approach to Tariffs in 2004
Australia's applied tariff levels have been significantly and progressively reduced since 1988. The general tariff rate for most items was reduced to 5 per cent on 1 July 1996 and more than 47 per cent of Australia's applied MFN tariff lines are now zero. In the two sectors where tariffs currently exceed 5 per cent - the textiles, clothing and footwear (TCF) and passenger motor vehicle (PMV) sectors - the Government is committed to a forward program of further tariff reductions which will bring all tariffs down to no more than 5 per cent. Tariffs in the PMV sector are scheduled to fall from 15 per cent to 10 per cent in 2005, and to 5 per cent in 2010. Tariffs in the TCF sector will be reduced in 2005, and then again in 2010, when tariffs on clothing and certain finished textile articles will be no more than 10 per cent, with tariffs on other TCF goods being no more than 5 per cent. In 2015, remaining tariffs on clothing and certain finished textile articles will be reduced to 5 per cent.
From 1 July 2003, Australia has provided duty-free and quota-free access to the Australian market for all goods originating in the world’s 49 Least Developed Countries (LDCs) and East Timor.
Before the completion of the Uruguay Round, 20 per cent of Australia's tariff rates were bound in the GATT. With the implementation of Australia’s Uruguay Round commitments, and the entry into force of the Information Technology Agreement, tariffs applying to more than 99 per cent of import values and over 96 per cent of tariff lines are now bound. One hundred per cent of Australia's agricultural tariff lines are bound.
It should be noted that the calculation of Australian import duty is based on the free-on-board (fob) value of goods in the exporting port. Thus, the actual impost of the tariff is lower than in economies that calculate duty on the basis of cost, insurance and freight (cif). This is because no tariff is paid on the insurance and freight components of goods imported into Australia.
Australia’s statutory applied rates of customs duty are set out in Schedule 3 of the Customs Tariff Act 1995, as amended. This is based on the 2002 version of the Harmonised Commodity Description and Coding System (the Harmonised System).
Australia does not impose export tariffs.
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Australia’s Approach to Tariffs in 2004 |
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Section |
Improvements Implemented Since Last IAP |
Current Tariff Arrangements |
Further Improvements Planned |
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Bound Tariffs
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No improvements implemented since the last IAP.
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Before the completion of the Uruguay Round, 20 per cent of Australia's tariff rates were bound in the GATT. With the implementation of Australia’s Uruguay Round commitments, and the entry into force of the Information Technology Agreement, tariffs applying to more than 99 per cent of import values and 96 per cent of tariff lines are now bound. All of Australia's agricultural tariff lines are bound.
The simple average bound tariff rate stands at just over 10 per cent.
Contact point for further details Tel: (+61) 2 6261 3037 Department of Foreign Affairs and Trade WTO Accessions and Tariff Obligations Section http://www.dfat.gov.au/trade/n
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Further improvements will be considered as part of the WTO Doha Round negotiations. |
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Applied Tariffs
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No improvements implemented since the last IAP.
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The simple average applied tariff is 4.25per cent (as at January 2004).
The percentage of duty free lines is 47.63 per cent (as at January 2004).
At present, over 86 per cent of Australian tariff rates are at 5 per cent or lower (as at January 2004).
Tariff rates higher than 5 per cent are in the Passenger Motor Vehicles (PMV) and textiles, clothing and footwear (TCF) sectors.
Passenger Motor Vehicles (PMV)
The applied tariff rate on PMVs is currently 15 per cent. Motor vehicles for the transport of 10 or more persons and motor vehicles for the transport of goods are dutiable at 5 per cent. Off road vehicles are also dutiable at 5 per cent.
The tariff rate for most automotive components is the same as that for completely built-up passenger motor vehicles. Other components are dutiable at 5 per cent or zero.
Textiles, Clothing and Footwear (TCF)
Tariffs on various TCF products are as follows: · apparel and certain finished textiles, 25 per cent; · cotton sheeting, woven fabrics, carpets and footwear, 15 per cent; · sleeping bags, table linen and tea towels, 10 per cent; and · footwear parts, 10 per cent.
Contact point for further details: Tel: (+61) 2 6275 6666 (Customs Information Centre) Email address: information@customs.gov.au. Website: http://www.customs.gov.au
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Passenger Motor Vehicles
Import tariffs on PMVs, components and replacement parts will be reduced to 10 per cent from 1 January 2005.
In accordance with the Government’s decisions on
post-2005 arrangements, announced in December 2002, legislation was enacted in 2003
providing for the further reduction of tariffs on passenger motor vehicles,
components and replacement parts to 5 per cent in 2010
Textiles, Clothing and Footwear
Applied tariffs for TCF products will be reduced from 1 January 2005: · apparel and certain finished textile articles to 17.5 per cent; · cotton sheeting, woven fabrics, footwear and carpets to 10 per cent; and · sleeping bags, table linen, tea towels and footwear parts to 7.5 per cent.
In November 2003, the Government announced the post-2005 arrangements for the TCF industry, including tariffs. Following the reductions of tariffs in 2005, tariffs will be held at those levels until 1 January 2010, when tariffs on apparel and certain finished textile articles will be further reduced to 10 per cent, and tariffs on other TCF goods will be reduced to 5 per cent. On 1 January 2015, tariffs on apparel and certain finished textile articles will be reduced to 5 per cent.
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Tariff Quotas
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No improvements implemented since the last IAP.
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Only 0.1 per cent of tariff lines are subject to a tariff quota.
For selected cheese products, a tariff quota of 11,500 tonnes applies. Up to the quota of 11,500 tonnes, a $96 per tonne tariff is charged. Outside the quota, a tariff of $1220 per tonne applies. This is the only tariff quota Australia maintains. |
Future cheese import arrangements will be considered in the context of WTO Agriculture negotiations.
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Tariff Preferences
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No improvements implemented since the last IAP.
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From 1 July 2003, the world’s 49 Least Developed Countries (LDCs) and East Timor have received duty-free and quota-free access.
Australia provides preferential tariff arrangements, including under free trade agreements, for goods originating in the following economies: (a) New Zealand; (b) Singapore (c) Papua New Guinea; (d) Forum Island Countries; (e) Developing Countries (DC or DCS); (f) Least Developed Countries; (g) Canada; and (h) Malaysia.
All goods originating in New Zealand, Singapore, Papua New Guinea and Least Developed Countries are free of duty. Goods originating in the other economies benefit from a margin of preference varying according to the arrangement and the particular goods.
Goods originating in the Forum Islands countries are free of duty with the exception of passenger motor vehicles and certain automotive components, for which tariffs are 10 per cent.
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Preferential tariffs on automotive imports from Forum Island countries will be further reduced by 5 percentage points to 5 per cent from 1 January 2005, and by a further 5 percentage points to zero from 1 January 2010.
Australia and the United States signed a free trade agreement in May 2004, under which Australia will progressively eliminate all tariffs for goods of US origin by 2015.
Australia and Thailand signed a free trade agreement in July 2004, under which Australia will progressively eliminate all tariffs for goods of Thai origin by 2015.
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No improvements implemented since the last IAP. Australia considers its tariff arrangements to be fully transparent.
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Australia’s tariff regime is transparent. The rates and
procedures are published by the Australian Customs Service in ‘Australian
Customs Notices’ on the Australian Customs Service website: http://www
The contact point for further details is the Customs Information Centre: Tel: (+61) 2 6275 6666 Email address: information@customs.gov.au.
The Australian Customs Service updates tariff information on the APEC Tariff Database (http://www.apectariff.org) whenever change occurs.
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No further improvements planned.
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Improvements in Australia’s Approach to Tariff Measures since 1996 |
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Section |
Position at Base Year (1996) |
Cumulative Improvements Implemented to Date |
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Bound Tariffs
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In 1996, 96.1 per cent of Australia's tariff lines were bound and the simple average bound tariff rate was 15.9 per cent.
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Australia bound tariffs on 90 per cent of products covered by the Information Technology Agreement at zero (1999 IAP).
Tariffs on the remaining 10 per cent of products covered by the Information Technology Agreement were bound at zero as from 1 January 2000 (2000 IAP).
96.5 per cent of Australia’s tariff lines are now bound and the simple average bound tariff rate is 10.3 per cent.
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Applied Tariffs
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The simple average applied tariff rate in 1996 was 6.1 per cent. Some 40.6 per cent of tariff lines were duty-free.
The tariff rate for imported passenger motor vehicles and components in 1996 was 25 per cent.
In 1996, the sugar tariff was A$55 per tonne.
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Australia reduced tariffs on PMVs and component parts by 2.5 percentage points each year from 1997 to 2000, reaching the level of 15 per cent on 1 January 2000 (1996, 1997, 1998, 1999 and 2000 IAPs).
Australia reduced tariffs on TCF products progressively by equal annual reductions of between 1 per cent and 3 per cent between 1 July 1997 and 1 July 2000 as follows: · apparel and certain finished textiles - from 34 per cent to 25 per cent; · cotton sheets, woven fabrics, carpets - from 22 per cent to 15 per cent; · sleeping bags, table linen and tea towels from 13 per cent to 10 per cent; · footwear - from 24 per cent to 15 per cent; · footwear parts - from 16 per cent to 10 per cent; and · carpets - from 21 per cent to 15 per cent (1996, 1997, 1998, 1999 and 2000 IAPs).
Tariffs on certain vegetables (including dried potatoes, canned tomatoes and tomato paste) were phased down from 8 per cent in 1996 to 7 per cent in 1997 and 5 per cent in 1998 (1996, 1997, 1998 and 1999 IAPs).
The Australian Government removed the specific tariff of $55 per tonne on imported sugar, effective from 1 July 1997 (1997 and 1998 IAPs).
Australia removed tariffs on medical and scientific equipment from 1 September 1998 (1999 IAP).
Nuisance tariffs (ie. tariffs of not more than 5 per cent on items for which there is no domestic production) were removed from 267 tariff lines on 15 December 1999 (2000 IAP).
The tariff on steel tinplate was removed from 1 October 1999. The tariff on aluminium cansheet was removed on bodystock, endstock and tabstock from 1 October 1999 (2000 IAP).
Measures to encourage investment and innovation in the automotive sector are subject to administrative arrangements covered by the ACIS Administration Act 1999 from 1 January 2001 (2001 IAP).
A new tariff concession has been introduced to allow duty free entry of certain space-related goods imported into Australia for use in authorised space projects (2001 IAP).
From 1 August 2001, certain space-related goods imported into Australia for use in authorised space projects have been duty-free (2002 IAP).
Changes to the Harmonised System were implemented in 2002. The legislated changes have been designed to preserve existing duty rates and margins of tariff preference (2002 IAP).
From 1 July 2003, the world’s 49 Least Developed Countries (LDCs) and East Timor have received duty-free and quota-free access (refer Case Study) (2003 IAP).
Tariff reduction legislation in recent years has lowered the simple average applied tariff to 4.25 per cent (as at January 2004). The percentage of duty free lines stands at 47.63 per cent (2004 IAP).
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Tariff Quotas
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Only 0.1 per cent of tariff lines were subject to a tariff quota (relating to certain cheeses).
In 1996, an out-of-quota tariff rate of $1,366 per tonne applied to imports in excess of Australia's 11,500 tonne cheese tariff quota.
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Australia reduced the out-of-quota tariff on certain cheeses in accordance with the following schedule: · $1,366 per tonne (1996 IAP); · $1,330 per tonne (1997 IAP); · $1,294 per tonne (1998 IAP); · $1,257 per tonne (1999 IAP); and · $1,220 per tonne (2000 IAP).
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Tariff Preferences
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The applied tariff for PMVs and components was 25 per cent in 1996. The preferential tariff arrangements for PMVs and components in 1996 for Forum Island and developing countries was 20 per cent, and 17.5 per cent for Canada.
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Preferential tariffs have been reduced by 2.5 per cent a year (1996, 1997, 1998, 1999 and 2000 IAPs).
From 1 July 2003, the world’s 49 Least Developed Countries (LDCs) and East Timor have received duty-free and quota-free access (2003 IAP).
A free trade agreement with Singapore came into force in July 2003. Preferential tariffs on all goods from Singapore are zero per cent (2003 IAP).
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Transparency of Tariff Regime
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Tariff rates and procedures were published in the Australian Customs Service publications - ‘Australian Customs Tariff’ and ‘Australian Customs Notices’, and on the Customs website, http://www.customs.gov.au.
Customs information is available either on the website, or by contacting the Customs Information Centre: Tel: (+61) 2 6275 6666 Email address: information@customs.gov.au.
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No specific improvements necessary.
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APEC INDIVIDUAL ACTION PLAN: TARIFF SUMMARY REPORT FOR 2004 |
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All Go All Goods |
Agriculture excluding Fish |
Fish and Fish Products |
Petroleum Oils |
Wood, Pulp, Paper and Furniture |
Textiles and Clothing |
Leather, Rubber, Footwear and Travel Goods |
Metals |
Chemical & Photographic Supplies |
Transport Equipment |
Non-Electric Machinery |
Electric Machinery |
Mineral Products, Precious Stones & Metals |
Manufactured Articles, n.e.s |
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ITEM |
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Bound tariff lines as a percentage of all lines |
96.46 |
100.00 |
100.00 |
100.00 |
100.00 |
90.79 |
86.09 |
96.62 |
99.88 |
88.26 |
97.07 |
97.98 |
96.19 |
97.35 |
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Duty-free tariff lines as a percentage of all lines |
47.63 |
72.18 |
99.11 |
100 |
25.52 |
14.94 |
17.76 |
34.48 |
63.77 |
30.45 |
43.82 |
49.11 |
68.67 |
65.60 |
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Preferential tariff lines as a percentage of all lines |
52.37 |
27.82 |
0.89 |
0.00 |
74.48 |
85.06 |
82.24 |
65.52 |
36.23 |
69.55 |
56.18 |
50.88 |
31.33 |
34.40 |
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Ratio of tariff lines with quotas to all lines |
0.08 |
0.64 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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Simple average bound tariff rate |
10.27 |
3.90 |
0.79 |
0.00 |
7.05 |
24.83 |
14.47 |
6.77 |
9.08 |
13.09 |
8.59 |
9.87 |
6.42 |
7.20 |
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Simple average applied tariff rate |
4.25 |
1.35 |
0.04 |
0.00 |
3.79 |
12.77 |
6.94 |
3.43 |
1.94 |
5.30 |
3.38 |
3.21 |
1.70 |
2.04 |
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Simple average applied preferential tariff rate: |
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DC: Developing Countries |
1.72 |
0.00 |
0.00 |
0.00 |
0.07 |
9.03 |
2.84 |
0.16 |
0.14 |
1.82 |
0.57 |
0.67 |
0.13 |
0.32 |
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DCS: Developing Countries |
3.89 |
1.08 |
0.04 |
0.00 |
2.97 |
12.76 |
6.24 |
2.43 |
1.86 |
4.82 |
2.91 |
2.78 |
1.43 |
1.79 |
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LDC: Least Developed Countries |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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PG: Papua New Guinea |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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FI: Forum Island Countries |
0.04 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
1.00 |
0.07 |
0.00 |
0.00 |
0.00 |
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DCT: Hong Kong, China, Korea, Chinese Taipei |
4.01 |
1.18 |
0.04 |
0.00 |
3.09 |
12.76 |
6.38 |
2.87 |
1.87 |
4.89 |
3.12 |
2.87 |
1.62 |
1.88 |
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CAN: Canada |
3.83 |
1.20 |
0.04 |
0.00 |
3.15 |
12.60 |
6.33 |
3.28 |
1.50 |
2.73 |
2.80 |
2.43 |
1.55 |
1.76 |
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MYS: Malaysia |
3.89 |
1.08 |
0.04 |
0.00 |
2.99 |
12.76 |
6.15 |
2.43 |
1.87 |
4.82 |
2.91 |
2.78 |
1.43 |
1.79 |
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SING: Singapore |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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Average applied tariff rate for all lines subject to duty |
8.12 |
4.95 |
5.00 |
0.00 |
5.09 |
15.01 |
8.44 |
5.24 |
5.37 |
7.61 |
6.01 |
6.31 |
5.43 |
5.93 |
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Import-weighted average applied tariff rate - FOB |
4.53 |
2.13 |
0.59 |
0.00 |
3.74 |
17.84 |
10.74 |
4.90 |
2.26 |
7.00 |
3.28 |
2.70 |
1.31 |
1.61 |
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Import-weighted average bound tariff rate - FOB |
8.98 |
3.71 |
1.95 |
0.00 |
6.20 |
32.73 |
14.88 |
8.84 |
5.86 |
15.77 |
7.00 |
7.17 |
4.41 |
5.71 |
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Notes: |
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Simple averages are direct from 8-digit tariff line level, without pre-aggregation at the 6-digit level. |
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Import-weighted averages are based on statutory applied MFN rates, and do not take into account preferential rates. |
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Economies eligible for LDC, DC or DCS preferential tariffs are listed in Schedule 1 of the Customs Tariff. |
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APEC INDIVIDUAL ACTION PLAN: TARIFF DISPERSION TABLE FOR 2004 |
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All Goods |
Agriculture excluding Fish |
Fish and Fish Products |
Petroleum Oils |
Wood, Pulp, Paper and Furniture |
Textiles and Clothing |
Leather, Rubber, Footwear and Travel Goods |
Metals |
Chemical & Photographic Supplies |
Transport Equipment |
Non-Electric Machinery |
Electric Machinery |
Mineral Products, Precious Stones & Metals |
Manufactured Articles, n.e.s |
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PERCENTAGE OF TARIFFS AT OR BETWEEN |
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0% |
47.63 |
72.18 |
99.11 |
100 |
25.52 |
14.94 |
17.76 |
34.48 |
63.77 |
30.45 |
43.82 |
49.11 |
68.67 |
65.66 |
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0%<X<=5% |
38.63 |
26.67 |
0.89 |
0.00 |
73.56 |
18.78 |
52.80 |
63.94 |
34.96 |
51.36 |
50.16 |
44.10 |
30.00 |
30.30 |
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5%<X<=10% |
2.34 |
0.00 |
0.00 |
0.00 |
0.46 |
12.17 |
6.07 |
0.00 |
0.11 |
0.00 |
0.65 |
0.29 |
0.00 |
1.62 |
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10%<X<=15% |
7.22 |
0.00 |
0.00 |
0.00 |
0.00 |
29.14 |
21.50 |
1.57 |
1.05 |
14.54 |
5.37 |
6.50 |
1.33 |
2.42 |
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15%<X<=20% |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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>20% |
3.90 |
0.00 |
0.00 |
0.00 |
0.00 |
24.97 |
1.87 |
0.00 |
0.11 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
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Specific |
0.28 |
1.15 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
0.00 |
3.65 |
0.00 |
0.00 |
0.00 |
0.00 |
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TOTAL |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
100.00 |
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[1] “Tariffs” here refers to import/export tariffs as well as tariff quotas.
Chapter 2 : Non-Tariff Measures[1] |
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Objective
APEC economies will achieve free and open trade in the Asia-Pacific region by:
a. progressively reducing NTMs to the maximum extent possible to minimize possible distortion to trade;
b. in respect to WTO members: · Elimination of any measures inconsistent with WTO agreements · Full compliance with WTO agreements in accordance to WTO commitments; and
c. ensuring the transparency of APEC economies’ respective non-tariff measures.
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Guidelines
Each APEC economy will:
a. take into account, in the process of progressive reduction of non-tariff measures, intra-APEC trade trends, economic interests, sectors or products related to industries in which this process may have positive impact on trade and on economic growth in the Asia-Pacific region and developments in the new economy;
b. ensure that the progressive reduction of non-tariff measures is not undermined by the application of unjustifiable measures;
c. consider extending, on a voluntary basis, to all APEC economies the benefits of reductions and eliminations of non-tariff measures derived from sub-regional arrangements; and
d. ensure that measures to promote the new economy and strengthening the functioning of markets are consistent with the objectives above.
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Collective Actions
APEC economies will:
a. pursue incorporation of information on non-tariff measures into a future version of the APEC tariff database and compile a list of measures recognized as non-tariff impediments and a list of products affected by these impediments;
b. identify industries in which the progressive reduction of non-tariff measures may have positive impact on trade and on economic growth in the Asia-Pacific region or for which there is regional industry support for early liberalization;
c. progressively reduce export subsidies with a view to abolishing them;
d. abolish unjustifiable export prohibitions and restrictions and endeavor to refrain from taking any such new measures;
e. pursue a series of seminars/policy discussions on non-tariff measures (NTMs); and
f. undertake research to develop best practices to enhance transparency and progressively reduce NTMs
The current CAP relating to non-tariff measures can be found in the Tariffs and Non-Tariff Measures Collective Action Plan.
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Australia’s Approach to Non-Tariff Measures in 2004
Australia generally does not make use of non-tariff measures, other than for soundly-based health and safety reasons and to discharge Australia's international obligations.
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Australia’s Approach to Non-Tariff Measures in 2004 |
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Section |
Improvements Implemented Since Last IAP |
Current Non-Tariff Measures Applied |
Further Improvements Planned |
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Quantitative Import Restrictions/ Prohibitions
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No improvements implemented since the last IAP.
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Australia does not generally impose quantitative import restrictions. Import prohibitions are only used to discharge Australia’s international obligations.
A list of prohibited and
restricted imports is available from the Customs website at http://www.customs.gov.au/site
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No further improvements planned.
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Quantitative Export Restrictions/ Prohibitions
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No improvements implemented since the last IAP.
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A list of prohibited and
restricted exports is available from the Customs website at http://www.customs.gov.au/site
Under Australia’s Livestock Export (Merino) Orders, which fall under the Export Control Act 1982, exports of merino sheep are restricted to 800 rams, with an additional 100 stud rams placed on an export donor register (for trade in genetic material). As referenced in the 2003 IAP, the livestock industry has indicated in recent consultations that it does not support any change to these restrictions.
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No further improvements planned.
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Import Levies
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No improvements implemented since the last IAP. |
Australia does not impose import levies. |
No further improvements planned. |
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Export Levies
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No improvements implemented since the last IAP.
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Australia does not impose export levies. |
No further improvements planned. |
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Discretionary Import Licensing
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No improvements implemented since the last IAP. |
Australia’s import licensing procedures are consistent with the WTO Agreement on Import Licensing Procedures. Current licensing requirements are designed to discharge Australia’s international obligations and to protect the community through maintaining transparent and scientifically-based health and safety-related import programs.
A list of items subject to
import licensing requirements (“restricted imports”) is available from the
Customs website at http://www.customs.gov.au/site
Australia has provided updated information on its import licensing procedures (G/LIC/N/3/AUS/2 of 4 July 2002), available from WTO document facility http://www.docsonline.wto.org.
See also Other Non-Tariff Measures Maintained.
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No further improvements planned.
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Automatic Import Licensing
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No improvements implemented since the last IAP.
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Australia does not impose automatic import licensing. |
No further improvements planned. |
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Discretionary Export Licensing
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Forest Products
Australia lifted export controls on plantation wood from the Northern Territory. |
Export licensing arrangements are in place for meat, livestock, rice, wine and wine products, and sugar. Limited licensing arrangements apply to wheat and barley. There are no export licensing arrangements for dairy products, although there are minimal quota management controls on cheddar to the European Union and varietal cheeses to the United States of America. Finalisation of a free trade agreement with the USA will require the introduction of quota management arrangements for the increased access to quota in the US market.
Horticultural Products
Export efficiency licensing arrangements for horticultural products (currently applicable to citrus, dried grapes, apple, pear and stone fruit exports) are administered by Horticulture Australia Ltd (see http://www.horticulture.com.au).
Forest Products
Exports of native forest hardwood woodchips have been prohibited since 1 April 2000 unless they are sourced from a region covered by a Regional Forest Agreement (RFA), in which case there are no export licence requirements. They may also be exported under a restricted shipment licence, which allows their export in one shipment from a region not yet covered by an RFA. However, as RFAs are now in place with all relevant States and Territories, there are currently no effective export prohibitions in place for these products.
Exports of plantation-sourced material (both native and exotic species) are not subject to any Australian Government export controls where State governments’ Codes of Practice have been approved as satisfactorily protecting environmental and heritage values.
For more information on Australian export licences, go to: http://www.affa.gov.au/content
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Horticultural Products
Export efficiency licensing arrangements for horticultural products are reviewed annually.
Forest Products
The Australian Government will consider the removal of export controls for plantation wood in Queensland following assessment of a Code of Practice against the National Plantation Principles.
The Australian Government will consider implementingthe recommendations of the National Competition Policy review of regulation controlling the export of unprocessed wood and woodchips under the Export Control Act 1982. |
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Voluntary Export Restraints
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No improvements implemented since the last IAP.
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Australia does not impose voluntary export restraint arrangements. |
No further improvements planned. |
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Export Subsidies
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No improvements implemented since the last IAP..
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Minimum Import Prices
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No improvements implemented since the last IAP.
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Australia does not set minimum import prices.
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Measures Maintained
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Import Risk Assessments (IRAs) To provide assurance that there is independent scrutiny of the process and demonstrate that objections are considered on a scientific basis, a group of eminent, independent Australian scientists has been appointed to play a key role in assessing stakeholder comments on draft IRAs.
The IRA appeals process remains unchanged, with stakeholders still able to formally appeal final reports.
Food Labelling
Legislation formalizing arrangements for the correction of food labelling deficiencies on arrival in Australia is now in force. Importers are permitted to import food that is not labelled in accordance with the requirements currently set out in the Food Standards Code and to correct labelling deficiencies prior to selling the product.
Ships Bounty As referenced in the 2003 IAP, the Shipbuilding Innovation Scheme was terminated on 30 June 2004.
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(See also Chapter 5: Standards and Conformance.)
Quarantine
Australia adopts a conservative approach to pest and disease risk. Quarantine measures are used to maintain an appropriate level of protection against entry, establishment or spread of exotic pests and diseases of quarantine significance.
Quarantine import permits are generally required for animals, plants and related products. In most cases, conditions are attached to import permits.
Quarantine measures are developed through risk assessments, which are based on: (i) the latest available scientific evidence; (ii) a consistent approach to risk management; (iii) meeting Australia’s appropriate level of protection; and (iv) conforming to Australia’s obligations under the WTO Agreement on the Application of Sanitary and Phytosanitary Measures.
Where appropriate, the quarantine requirements developed are based on the standards, guidelines and recommendations of the relevant international organisations (i.e., the Office International des Epizooties and the International Plant Protection Convention).
The circumstances in which
import risk analyses are conducted are set out in the Import Risk Analysis
Handbook. For more information, go to: http://www.affa.gov.au/publica
Foods
Imported foods are liable to inspection to ensure compliance with
Australian food standards. However, changes to inspection and
certification procedures are subject to periodic review. For more
information on Australia’s Food Standards, see http://www
Ships Bounty Australia no longer has any sector specific assistance schemes for the shipbuilding industry.
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No further improvements planned.
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Improvements in Australia’s Approach to Non-Tariff Measures since 1996 |
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Section |
Position at Base Year (1996) |
Cumulative Improvements Implemented to Date |
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Position
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Australia generally did not make use of non-tariff measures, other than for soundly based health and safety reasons and to discharge Australia's international obligations.
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Quantitative Import Restrictions/ Prohibitions
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Australia generally did not impose quantitative import restrictions. Import prohibitions were only used to discharge Australia’s international obligations.
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Quantitative Export Restrictions/ Prohibitions
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Australia did not impose export prohibitions but restricted the export of merino sheep to maintain access by the domestic wool industry to the best of Australian Merino genetic material.
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Discretionary Import Licensing
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Australia’s import licensing procedures were consistent with the WTO Agreement on Import Licensing Procedures. Licensing requirements were confined to the discharge of Australia’s international obligations, to protect the community through maintaining transparent and scientifically based health and safety related import programs.
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Australia has provided updated information on its import licensing procedures (G/LIC/N/3/AUS/2 of 4 July 2002). |
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Discretionary Export Licensing
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Exports of unprocessed wood and woodchips were generally subject to Australian Government export controls. Export licences were required for exports of unprocessed wood (eg. logs and flitches) from native forests outside Regional Forest Agreement regions if the amount exported exceeded 2 tonnes.
Export licences were required for exports of plantation-sourced material (both native and exotic species), where State and Territory codes of practice were not approved and where the amount exported exceeded 2 tonnes.
Export licensing arrangements were in place for wheat, barley, rice, meat, livestock, horticulture (citrus, apples, pears and stonefruits), wine and wine products and dairy products to ensure importing country requirements were met, to enable the establishment of quota arrangements for exports to those countries which set quotas on imports, and to maintain standards.
Statutory authorities administered export-licensing arrangements for all agricultural products.
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The Australian Government has lifted export controls in regions where Regional Forest Agreements are in place. The following Regional Forest Agreements have so far been completed: · East Gippsland, Victoria (February 1997) and Tasmania (November 1997) (1997 IAP); · Central Highlands of Victoria (March 1998) (1998 IAP); · South West Forest region of Western Australia (May 1999), North East Victoria (August 1999) and the Eden region of New South Wales (NSW) (August 1999) (1999 IAP); and · West Victoria and Gippsland, Victoria and the Upper and Lower North East regions of NSW (March 2000) (2000 IAP).
Export controls on plantation-sourced wood (both native and exotic species), have been lifted where the following State and Territory Governments were satisfied plantation codes of practice satisfactorily protected environmental and heritage values: Victoria and Tasmania (March 1997), South Australia and Western Australia (September 1997) (1997 IAP); New South Wales (February 1998) (1998 IAP); and Australian Capital Territory (January 1999) (1999 IAP).
Northern Territory (March 2004) These arrangements remain in place.
Export licensing requirements were removed for bulk cheese exports to Japan (30 June 2002) and the European Union (1 January 2003). There are no remaining export licensing arrangements for dairy products (2003 IAP).
With the abolition of the horticultural statutory authorities in 2001, the horticulture industry has been given greater responsibility to administer existing export licensing arrangements through its service company, Horticulture Australia Ltd (2003 IAP).
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Australia did not impose voluntary export restraint arrangements. |
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Measures Maintained
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Australia maintained quarantine and imported food policies and programs designed to satisfy appropriate levels of protection. Existing procedures were scientifically based and met sanitary and phytosanitary obligations. In the case of imported food, this was to ensure Australian food standards were met.
Australia had bounties on only four products/sectors, namely computers, ships, books and machine tools and robots.
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Following a comprehensive independent review of Australia’s animal and plant quarantine policies and programs (the Nairn Review), new arrangements were put in place in 1998 to improve the import risk analysis process. These new arrangements established risk analysis panels to provide scientific advice on some import access requests and an appeals mechanism in relation to the processes followed in the course of a risk assessment. The arrangements ensured that decisions on import access were made within a reasonable time frame and applied on a non-discriminatory basis and in the least trade restrictive manner (1997 IAP Chapter on Deregulation).
The Import Risk Analysis Process was reviewed (2001 IAP).
A revised Import Risk Analysis Handbook was released in August 2003. This has put in place further changes to Australia’s biosecurity Import Risk Analysis (IRA) process to improve efficiency, effectiveness and fairness, including enhanced partnerships with the States and Territories and scientific peer review (2003 IAP).
Bounties on computers, machine tools and robots were abolished from 30 June 1997 (1997 IAP).
The book bounty expired on 31 December 1997 (1998 IAP).
The shipbuilding bounty was terminated on 31 December 2000 (2001 IAP).
The Shipbuilding Innovation Scheme was terminated on 30 June 2004 (2004 IAP).
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[1] These non-tariff measures include but are not restricted to quantitative import/export restrictions/prohibitions, import/export levies, minimum import prices, discretionary import/export licensing, voluntary export restraints and export subsidies.
Chapter 3 : Services |
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Objective
APEC economies, in accordance with the APEC Policy Framework for Work on Services, will achieve free and open trade and investment in the Asia-Pacific region by:
a. progressively reducing restrictions on market access for trade in services;
b. progressively providing for inter-alia most favored nation (MFN) treatment and national treatment for trade in services;
c. providing, in regulated sectors, for the fair and transparent development, adoption and application of regulations and regulatory procedures for trade in services; and
d. recognising the role that e-commerce plays in the supply and consumption of services.
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Guidelines
Each APEC economy will:
a. contribute positively and actively to the WTO negotiations on trade in services;
b. expand commitments under the General Agreement on Trade in Services (GATS) on market access and national treatment and eliminate MFN exemptions where appropriate;
c. undertake further actions, where appropriate, to implement the APEC Menu of Options for Voluntary Liberalization, Facilitation and Promotion of Economic and Technical Cooperation in Services Trade and Investment;
d. make efforts to provide for the participation of concerned parties in regulations and regulatory processes, the fair and transparent application of regulations, and the prompt consideration of applications; and
e. support APEC capacity building efforts to supply services by, inter-alia, strengthening infrastructure, promoting the use of advanced technologies and developing human resources.
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Collective Actions
APEC economies will take the following Collective Actions with regard to services in the telecommunications, transportation, energy and tourism sectors[1], and continue to seek Collective Actions in other sectors
TELECOMMUNICATIONS
a. work to bridge the digital divide at the domestic, regional and global levels, and to cooperate and collaborate with the business/private sector in this effort;
b. foster discussion between business/private sector and governments on appropriate means to assess and reward the value of products and services exchanged in the provision of converged Internet services among APEC economies, consistent with the APEC Principles on International Charging Arrangements for Internet Services;
c. foster the development of effective policies that support competitive markets in the domestic and international telecommunications and information industries;
d. accelerate the pace of implementation of the Mutual Recognition Arrangement on Conformity Assessment for Telecommunications Equipment (MRA);
e. work to ensure that policy and regulatory environments better foster the uptake of e-commerce;
f. implement within voluntary time frames the APEC Interconnection Principles and consult on the need for further discussions on interconnection; and
g. give attention to user requirements for open standards and systems to support interoperability
In addition, APEC economies are encouraged to conform, where appropriate, to:
1. The WTO Telecommunications Regulatory Principles Reference Paper;
2. The Information Technology Agreement (ITA); and
3. The Guidelines for Trade in International Value-Added Network Services (IVANS).
TRANSPORTATION
a. respond to the Leaders ‘Auckland Challenge’ of 1999, by implementing the eight steps for more competitive air services on a voluntary basis and by identifying further steps to liberalize air services in accordance with the Bogor Goals, and provide annual progress reports to Leaders through SOM (Note: some components of this project may fall under Part II Ecotech, subject to further developments);
b. develop by 2005 an efficient, safe and competitive operating environment for maritime transport, including ports, in the region through improved transparency of maritime and port policies (Note: some components of this project may fall under Part II Ecotech, subject to further developments);
c. complete the Road Transport Harmonization Project and encourage the development of mutual recognition arrangements for certification of automotive product and harmonization of economies’ vehicle regulations through cooperation within United Nations Economic Commission for Europe; and
d. seek to eliminate the requirement for paper documents (both regulatory and institutional) for the key messages relevant to international transport and trade as soon as practicable by 2005.
ENERGY
APEC Economies, by developing and building on the 14 non-binding policy principles endorsed by APEC Energy Ministers at their Sydney meeting in 1996 which are consistent with the vision, objectives and strategic themes of the recently endorsed Future Directions Strategic Plan that will guide their work over the next five years:
a. will facilitate trade and investment in the energy sector by
i. responding to the outcomes of a current study on "Strengthening the Operational Aspects of APEC Energy Micro -Economic Reform" that will, inter-alia, inform on barriers to investment in the energy sector and how to remove the barriers.
ii. analysing the broad economic impacts of micro-economic reform policies to deregulate energy markets.
iii. responding as appropriate to the identification of the barriers (policy, technical, regulatory and legal) to the interconnection of power grids in APEC member economies.
iv. actively pursuing the Implementation Strategy and considering the use of Implementation Facilitation Assistance Teams (IFAT) to assist in further reform of the energy markets.
v. strengthening policy dialogue among member economies on important issues affecting energy markets.
vi. supporting the APEC 21st Century Renewable Energy Development Initiative which seeks to advance the use of renewable energy for sustainable economic development and growth in member economies.
vii. encouraging in the longer term a greater strategic input from business through the Energy Working Group Business Network (EBN).
b. will seek to reduce barriers to trade created by differing energy performance test methods and energy performance requirements by supporting the establishment of an APEC Energy Efficiency Test Procedures Coordinator.
c. will strengthen energy security in the region by developing and implementing an energy security initiative with the aim of improving the functioning of energy markets; energy efficiency and conservation; diversification of energy resources; renewable energy development and deployment; and enhance short term preparedness such as oil stocks and surge production of oil; and explore the potential for alternative transport fuels
TOURISM
APEC economies will:
a. Remove impediments to tourism business and investment by: (i) promoting and facilitating the mobility of skills, training and labor; (ii) promoting and facilitating productive investment in tourism and associated sectors; (iii) removing regulatory impediments to tourism business and investment; and (iv) encouraging liberalization of services trade related to tourism under General Agreement on Trade in Services (GATS)
b. Increase mobility of visitors and demand for tourism goods and services in the APEC region by: (i) facilitating seamless travel for visitors; (ii) enhancing visitor experiences; (iii) promoting inter- and intra-regional marketing opportunities and cooperation; (iv) facilitating and promoting e-commerce for tourism business; (v) enhancing safety and security of visitors; and (vi) fostering a non-discriminatory approach to the provision of visitor facilities and services.
c. Sustainably manage tourism outcomes and impacts by: (i) demonstrating an appreciation and understanding of natural environment and seeing to protect the environment (ii) fostering ecologically sustainable development opportunities across the tourism sector, particularly for small and medium sized enterprises, employment and providing for open and sustainable tourism markets (iii) protecting the social integrity of host communities with particular attention to the implications of gender in the management and development of tourism (iv) recognizing, respecting and preserving local and indigenous cultures together with our natural and national cultural heritage (v) enhancing capability building in the management and development of tourism.
d. Enhance recognition and understanding of tourism as a vehicle for economic and social development by: (i) harmonizing methodologies for key tourism statistical collections, consistent with activities of other international tourism organizations (ii) facilitating the exchange of information on tourism between economies (iii) promoting comprehensive analysis of the role of tourism in member economies in promoting sustainable growth (iv) expanding our collective knowledge base on tourism issues in order to identify emerging issues and assist in the implementation of the Seoul Declaration on an APEC Tourism Charter.
The current CAP relating to services can be found in the Services Collective Action Plan
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Australia’s Approach to Trade in Services in 2004
Australia's services sector creates more than eight out of every ten jobs in Australia and accounts for more than two thirds of our GDP. Services also comprise more than 20 per cent of Australia's total exports. Australia has a very market-orientated, transparent and competitive services regime. The Australian services sector is characterised by a range of regulatory practices. In addition to specific industry regulations, there are regulatory instruments which span most of the services sectors. These relate to Australian policies regarding foreign investment and the basis on which foreign business people can obtain temporary residence in Australia. Australia is committed to further liberalisation of services trade and will work to ensure transparent, stable and predictable trading regimes through bilateral, regional and multilateral channels.
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Chapter 3 : Australia’s General Approach to Trade in Services in 2004*Competition Policy will be dealt with in the Competition Policy Chapter (link) |
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Section |
Improvements Implemented Since Last IAP |
Current Entry Requirements |
Further Improvements Planned |
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Foreign Investment or Right of Establishment (including Joint Venture Requirements)
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See Chapter 4: Investment for details.
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Australia has a very open, transparent and liberal foreign investment regime. Australia maintains a foreign investment screening process to ensure that foreign investments in Australia are not contrary to the national interest. A copy of Australia’s foreign investment policy summary can be found at: http://www/firb/gov.au.
See Chapter 4: Investment for details.
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See Chapter 4: Investment for details. |
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Temporary Entry and Stay of Service Providers and Intra-Corporate Transferees
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See Chapter 13: Business Mobility for details. |
Australia maintains a visa regime, which regulates business mobility across the services sector. The Department of Immigration and Multicultural and Indigenous Affairs deals with the entry of natural persons.
See Chapter 13: Business Mobility for details.
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See Chapter 13: Business Mobility for details. |
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Foreign Exchange Control/ Movement of Capital
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See Chapter 4: Investment for details. |
Australia has no restrictions on foreign exchange and the movement of capital.
See Chapter 4: Investment for details.
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See Chapter 4: Investment for details. |
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Other Generic Requirements Applied to Trade in Services
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No improvements implemented since the last IAP. |
Sub-National Regulation
Cross-sectoral bodies of the Australian Government and State and Territory governments regulate the activities of the services sector.
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No further improvements planned. |
Chapter 3: Improvements in Australia’s Approach to Trade in Services since 1996 |
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Section |
Position at Base Year (1996) |
Cumulative Improvements Made to Date |
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General PolicyPosition
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Australia had always operated a liberal, market-orientated, transparent, and open services regime.
Australia had made substantial commitments covering a broad range of services sectors during the negotiation of the General Agreement on Trade in Services (GATS).
These sectors included: business and professional services; telecommunications; construction and engineering; distribution; education; financial; recreational, cultural and sporting; tourism and transport.
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Since the commencement of the GATS, Australia has been able to make further GATS commitments in the financial and telecommunications sectors to take account of significant liberalisation of those sectors (1998 and 1999 IAP).
Australia has pursued a wide program of other reforms in key sectors of the service economy. These reforms include deregulation of the energy sector (natural gas and electricity); establishment of a single aviation market with NZ and increased competition on the domestic aviation market; and significant reforms in the shipping and rail industries, and the telecommunications sector (1996,1997, 1998, 1999, 2000 and 2001 IAPs).
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Foreign Investment or Right of Establishment (including Joint Venture Requirements)
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Australia had always operated a liberal and open investment screening regime for pre-establishment investment.
See Chapter 4: Investment for details of foreign investment or right of establishment (including joint venture requirements) maintained in 1996.
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See Chapter 4: Investment for improvements made since 1996. |
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Temporary Entry and Stay of Service Providers and Intra-Corporate Transferees
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Australia’s commitment under the GATS in respect to long stay temporary business entry arrangements for service sellers was satisfied with the introduction of 457 visa in August 1996.
See Chapter 13: Business Mobility for details of provisions relating to temporary business entry.
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See Chapter 13: Business Mobility for improvements made since 1996. |
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Foreign Exchange Control/ Movement of Capital
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See Chapter 4: Investment for details of provisions relating to Foreign Exchange Control/Movement of Capital which applied in 1996.
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See Chapter 4: Investment for improvements made since 1996. |
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Other Generic Requirements Applied to Trade in Services
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Sub-National Regulation
Federal and State cross-sectoral bodies regulate the activities of the services sector.
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No improvements implemented since 1996. |
[1] The following Collective Actions have been extracted from the annexed Action Programs of Working Groups in which substantial progress has already been made in services, in order to illustrate liberalization and facilitation related activities to be undertaken in these sectors. Activities in these sectors are also dealt with in Part Two.
Chapter 3 (a:1): Business Services: Legal |
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Section |
Improvements Implemented Since Last IAP |
Current Entry Requirements |
Further Improvements Planned |
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Operational Requirements
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The Parliament of the State of Queensland enacted the Legal Profession Act 2004. The provisions that came into effect on 31 May 2004 include those implementing the National Practising Certificate Scheme.
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Principal Regulatory Instruments
· Commonwealth: Judiciary Act 1903. · Victoria: Legal Practice (Practising Certificates) Act 1999. · New South Wales: Legal Profession Act 1987. · Tasmania: Legal Profession Act 1993. · South Australia: Legal Practitioners Act 1981. · Western Australia: Legal Practice Act 2003. · Queensland: Queensland Law Society Act 1952 Legal Profession Act 2004 · Northern Territory: Legal Practitioners Act 1999. · ACT: Legal Practitioners Act 1970.
Practice of the Law of Australia
The legal profession is regulated at the State and Territory level in Australia although a national legal services market is emerging. Lawyers must first be admitted to practise in the Supreme Court of an Australian State or Territory, and, if they wish to practise, they must also obtain a practising certificate.
Practising certificates are issued by the relevant body (usually a professional body) in each Australian State or Territory, and may involve a period of restricted practice or further requirements, depending on the State or Territory. After gaining admission and obtaining a practising certificate, lawyers admitted to practice in one State or Territory can apply and be admitted or obtain a practising certificate in another State or Territory under the mutual recognition scheme.
Professional bodies representing the legal profession in each of the States and Territories can be contacted throught Australia’s peak legal professional body, the Law Council of Australia. Contact details are:
The Law Council of Australia 19 Torrens Street BRADDON ACT 2612 Australia.
Phone: +61 2 6246 3788 Fax: +61 2 6248 0639 Website: http://www.lawcouncil.asn.au/.
National Practising Certificate Scheme The national practising certificate scheme initiated by the Law Council of Australia (the peak Federal legal professional body) in 1996 and endorsed by the Standing Committee of Attorneys-General provides for lawyers entitled to practise in one State or Territory to practise in another without having to obtain a practising certificate in the latter jurisdiction. It also negates the need to incur costs associated with registration in the latter jurisdiction under the mutual recognition scheme. The national practising certificate scheme operates in every State and Territory.
Incorporated Legal Practices (ILP) and Multi-Disciplinary Partnerships (MDP)
A multi-disciplinary partnership (MDP) is a partnership between lawyers and other non-legal professionals that provides both legal and non-legal services.
The Law Council of Australia supports the incorporation of legal practices and the creation of multi-disciplinary partnerships (MDPs). That support is subject to the following two fundamental objectives being met:
(a) the maintenance of lawyers’ ethical obligations and professional responsibilities is paramount, and
(b) restrictions should should not be placed on the manner in which lawyers choose to practise unless such restrictions are in the public interest.
The practise of law through ILPs and MDPs is currently possible in New South Wales and Western Australia..
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Legal Services
On 7 August 2003, the Standing Committee of Attorneys-General, which
is comprised of the senior law Ministers of the Australian Government and the
governments of each of the Australian States and Territories, agreed to
endorse comprehensive model provisions as a basis for consistent laws to
facilitate a truly national legal profession. Detailed model provisions
were developed and released in April 2004. Supporting
regulations for the Model Bill are currently under development. Amongst
other aspects, the Model Bill (available at http://www.ag.gov.au/
All States and Territories are committed to implementing core model provisions where they have not already done so. For example, the remaining provisions of Queensland’s Legal Profession Act 2004 will commence on a day to be fixed by proclamation. These include provisions relating to foreign lawyers, multi-disciplinary partnerships and the incorporation of legal practices.
The Model Legal Profession Bill contains provisions on Incorporated Legal Practices and Multi-Disciplinary Partnerships.
The provisions in Queensland’s Legal Profession Act 2004 relating to incorporated legal practices and multi-disciplinary partnerships will commence on a day to be fixed by proclamation. |
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Licensing and Qualification Requirements of Service Providers
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No improvements implemented since the last IAP.
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In order to practise the law of Australia, lawyers need to be admitted to practice and obtain a practising certificate from the body (usually a professional body) of the relevant State or Territory in Australia.
Knowledge Requirements
Lawyers must normally complete a tertiary academic course in Australia involving 11 areas of legal knowledge specified in the Uniform Admission Rules (generally a four year degree, or a three year degree for those with a prior degree) or such course of studies resulting in areas of knowledge recognised in an Australian jurisdiction.
Overseas degrees or courses of study may be recognised by an Australian admitting body.
Practical Legal Training and Articles
A requirement for admission to practise normally includes completion of an approved practical legal training course and/or articles of clerkship that typically would cover a period from six months to one year.
Practising Certificate
Issue of a practising certificate usually occurs on a restricted basis, involving up to twenty-four months of supervision under a senior legal practitioner, after which an unrestricted practising certificate may be issued.
Continuing legal education to a specified level over a 12 month period is a requirement for renewal of practising certificates.
There are no barriers to non-Australians obtaining a practising certificate provided they meet the criteria for admission and issue of a practising certificate.
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See previous section. |
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Foreign Entry
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In adopting the Legal Profession Act 2003, Western Australia has implemented a comprehensive framework for the regulation and registration of foreign lawyers.
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Admission to practice in Australia for applicants from New Zealand proceeds under a mutual recognition arrangement between the two countries. Admission to practice in Australia by applicants from outside Australia or New Zealand is possible in Australian States and Territories. Such admission is subject to meeting specified knowledge (refer above under ‘Knowledge Requirements’), immigration and other (e.g., good fame and character) requirements.
Practice of foreign law (ie. home country, third country and international law)
1. a comprehensive framework for the regulation of foreign legal practice in Australia (Option A); and
2. a minimalist option simply stating that there is no bar to the practice of foreign law in Australia (Option B).
To date, Victoria, New South Wales, Western Australia, the Australian Capital Territory and the Northern Territory have implemented legislation based on Option A. Legislation based on Option B has been implemented in South Australia. Tasmania has indicated that its Legal Profession Act 1993 provides a simple mechanism for obtaining the right to practise foreign law by foreign lawyers, either on their own account, or in combination with a local lawyer. There is no legislative bar to the practice of foreign law in Queensland, but the Law Society of Queensland has issued guidelines on the practice of foreign law in that State.
Further information concerning the regulation of foreign lawyers can be obtained from the relevant State and Territory legal professional bodies, which can be contacted throught the Law Council of Australia (see contact details listed above).
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It is the policy of the Law Council of Australia (peak Federal legal professional body) to encourage all States and Territories to implement legislation based on a comprehensive framework for the regulation of foreign legal practice in Australia.
The model provisions released by the Standing Committee of Attorneys‑General (refer above under “Operational Requirements”) include a comprehensive framework for the regulation of foreign legal practice across Australia. These provisions improve on comprehensive foreign lawyer provisions endorsed by SCAG in March 1996. When fully implemented by all States and Territories, Australia will have a nationally consistent, hospitable and comprehensive framework for the regulation of foreign lawyers.
The provisions in Queensland’s Legal Profession Act 2004 relating to the practice of foreign law (based on the model provisions released in April 2004) will commence on a day to be fixed by proclamation. |
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Discriminatory Treatment/ MFN
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No improvements implemented since the last IAP.
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There is no discriminatory treatment of foreign legal service providers.
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No improvements planned. |
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Chapter 3 (a:2): Business Services: Accounting |
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Section |
Improvements Implemented Since Last IAP |
Current Entry Requirements |
Further Improvements Planned |
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Operational Requirements
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Accounting Standards
On Thursday 15 July 2004, the Australian Accounting Standards Board (AASB) formally made the entire 31 March 2004 suite of international accounting standards into Australian Accounting Standards, thus effectively introducing international accounting standards into Australian law.
Corporate Law Economic Reform Program (CLERP)
The Corporate Law Economic Reform Program (Audit Reform and Corporate Disclosure) Act 2004 [“CLERP 9”] came into law on 1 July 2004. · Most of the provisions of the CLERP 9 Act commenced on 1 July 2004. · Schedule 3 to the CLERP 9 Act (containing the proportionate liability reforms) commenced on 26 July 2004. · The CLERP 9 regulations commenced on 9 July 2004. CLERP 9 builds on previous reforms and contains significant measures covering financial reporting and corporate disclosure more generally. Its provisions will achieve better disclosure outcomes, enhance auditor independence and improve enforcement arrangements in the event of corporate misbehaviour. CLERP 9 also provides for the legal enforcement of auditing standards.
For more information on
CLERPs 7-9, see the ASIC website,, http://www.asic.gov.au, or the Treasury
website at http://www.treasury.gov.au/hom
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Principal Regulatory Regimes
Self-regulation of accountants is undertaken by The Institute of Chartered Accountants in Australia (ICAA), CPA Australia and the National Institute of Accountants (NIA). However, there are some activities regulated by the Corporations Act 2001: · company auditors and liquidators; and · the provision of financial services, such as financial product advice. Accountants
There are no statutory barriers to prevent entry into the accounting profession.
The accounting profession in Australia is subject to a co-regulatory regime. Australia's three main accounting organisations, the ICAA, CPA Australia and the NIA, effectively self-regulate the accounting profession through market place acceptance of the qualifications and experience of their members. The ICAA and CPA Australia regulate their members by requiring them to follow a joint 'Code of Professional Conduct', which details how members should prepare financial statements under Australian accounting standards, as well as dealing with conflict of interest issues. The NIA's member's Handbook prescribes ethical standards with which members must comply.
For audits required under the Corporations Act, individual auditors must be registered by ASIC as company auditors. The CLERP 9 Act now also allows a company to be registered as an authorised audit company (see below). The CLERP 9 Act has also introduced into the Corporations Act a comprehensive regime in relation to auditor independence.
Contacts: CPA Australia, Level 28, 385 Bourke St, MELBOURNE VIC 3000, Telephone: (+61) 3 9606
9606; Facsimile: (+61) 3 9670 8901, Membership Inquiries: http://www.cpaaustralia.com.au. Follow links to Membership
Entry Requirements, Recognition of Overseas Qualifications. Contact
Details: http://www.cpaaustralia.com.au
The Institute of Chartered Accountants in Australia (ICAA) Level 14, 37 York St, SYDNEY NSW 2000 Telephone: (+61) 2 9290 1344; Facsimile: (+61) 2 9262 1512, Membership inquiries: http://www.icaa.org.au. See the ‘Become a CA’ tab. E-mail: membership@icaa.org.au.
National Institute of Accountants (NIA) PO Box 18204, Collins St East, MELBOURNE VIC 8003, Telephone: (+61) 3 8665 3100 Facsimile: (+61) 3 8665 3130. Membership inquiries: http://www.nia.org.au. Follow links to Membership, How to Join.
Australian Securities and Investments Commission (ASIC) GPO Box 9827, SYDNEY NSW 2001, Telephone: (+61) 2 9911 2000; Facsimile: (+ 61) 2 9911 2333. E-mail: infoline@asic.gov.au ; website: http://www.asic.gov.au.
Activities regulated by the Corporations Act 2001 ¾ Company Auditors and Liquidators / Financial Services
The Australian Securities and Investments Commission regulates auditors and liquidators, and those accountants providing financial services. See above for contact details.
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Accounting Standards
Companies and other entities that are required to
prepare financial statements under Part 2M.3 of the Corporations Act 2001
will have to prepare their financial statements in accordance with Australian
equivalent International Financial Reporting Standards for financial years
beginning on or after 1 January 2005. See the Australian
Accounting Standards Board (AASB) work program at: http://www.aasb
The AASB agreed on plans for adopting international accounting standards by 2005 in accordance with the Financial Reporting Council’s strategic direction. See the website at http://www.frc.gov.au.
Corporate Law Economic Reform Program (CLERP)
CLERP 8 (Cross-border Insolvency) In October 2002, the Australian Government released
a paper proposing that Australia adopt the UNCITRAL model law on cross-border
insolvency. A copy of the proposal paper is at : http://www.treasury.gov.au/con
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Licensing and Qualification Requirements of Service Providers
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The Financial Services Reform Act 2001 (FSR Act) took full effect on 11 March 2004 following a two-year transition period.
During the transition period, the Australian Government made legislative amendments to clarify the operation of the law.
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Accountants
Accountants do not need to be registered or licensed, unless they undertake activities regulated by the Corporations Act 2001 as amended by the Financial Services Reform Act 2001, although most new accountants comply with the professional requirements of the ICAA, CPA Australia or the NIA. The minimum entry requirement for admission to the ICAA or CPA Australia is a three-year degree in accounting, commerce or economics (or a similar degree), having undertaken specified accounting and business subjects (see links to the bodies below for details). The NIA has five levels of membership, with the minimum requirement for membership being an Advanced Diploma in Business (Accounting).
For contact details see Operational Requirements, above.
Company Auditors and Liquidators
Company auditors and liquidators need to be registered with ASIC. See contact details under Operational Requirements, above.
An applicant for registration as a liquidator needs to hold a three-year degree, diploma or certificate in Accounting from an Australian university; a two-year degree, diploma or certificate in commercial law from an Australian university; be a member of CPA Australia or the ICAA; or hold equivalent qualifications as determined by ASIC. An applicant also needs experience as a liquidator and must satisfy ASIC that he/she is a fit and proper person.
An applicant for registration as a company auditor needs to hold a three-year degree, diploma or certificate in Accounting from an Australian university; a two-year degree, diploma or certificate in commercial law from an Australian university; have satisfactorily completed an advanced course in auditing or hold equivalent qualifications as determined by ASIC. An applicant also needs to meet practical experience requirements for registration and must satisfy ASIC that he/she is a fit and proper person. An applicant for registration as an auditor may also meet the practical experience requirements by satisfying all the components of a competency standard in auditing.
A company may be registered by ASIC as an authorised audit company provided it meets the following criteria: · each director is a registered company auditor and is not disqualified from managing a corporation; · each share in the company is held beneficially by an individual or the legal personal representative of an individual; · a majority of the votes in the company are beneficially owned by individuals who are registered company auditors; · ASIC are satisfied that the company has adequate and appropriate professional indemnity insurance; and · the company is not an externally administered body corporate. Some legislation containing audit requirements, enacted by the Australian Government and/or by state and territory governments, provides that audits must be undertaken by registered company auditors. Consequently, registered company auditor status has become the de-facto benchmark for identifying a competent auditor for many non-corporate audits.
Financial Services
The Financial Services Reform Act 2001 (FSR Act) amends the Corporations Act 2001 and introduces a harmonised licensing, disclosure and conduct regime for the provision of all financial products. All persons, including accountants, are subject to the FSR regime if they provide advice or recommendations intended to influence a person to make a decision about a financial product.
However, there are specific exemptions for certain services (which may be provided by accountants), including, for example, the provision of advice relating to the auditing of financial statements. The exemptions are set out in Corporations Regulations 7.1.29 and 7.1.29A.
Under the FSR Act, where a person provides a financial service (that is, provides financial product advice, deals, makes a market, operates a managed investment scheme, or provides a custodial and depository service), the person must be licensed by the ASIC to engage in that activity and must comply with conduct and disclosure obligations. In addition, product issuers are required to comply with product disclosure obligations.
To obtain a licence under the Financial Services Reform regime, an applicant has to demonstrate that he/she possesses the relevant competence, skill and experience to carry out the activities for which he/she seeks to be licensed. In addition, he/she has to ensure that any representatives who act for him/her are adequately trained and competent to provide services.
CLERP
7 (Simplified Lodgments and Compliance) reforms, replacing the former
requirements to lodge annual returns with the ASIC commenced, on 1 July
2003, with the Corporations Legislation Amendment Act 2003, the Corporations
(Fees) Amendment Act 2003 and the Corporations (Review Fees) Act 2003.
Implementation of the CLERP 7 proposals was also supported by Corporations
fees and transitional regulations. Further information is available on the
ASIC website at http://www.asic.gov.au/asic/as
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Company Auditors and Liquidators
Please see CLERP 9 comments in the Improvements Implemented column of the previous section. |
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Foreign Entry
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No improvements implemented since the last IAP. |
The Accounting Industry
There are no additional regulatory requirements for foreign entrants wishing to work in the accounting industry. It is possible for an overseas accountant to work in Australia without becoming a member of CPA Australia, the ICAA or the NIA. However, most overseas accountants who wish to work in Australia will become members of one of the main accounting professional bodies.
Generally, overseas entrants must satisfy the same educational and work experience requirements for admission to these professional accounting bodies as would any domestic applicant. The ICAA and CPA Australia admit non-Australian members on the same basis as Australian members. There is no automatic recognition of overseas qualifications.
Holding an accounting (or similar) degree is a requirement for membership of CPA Australia, with foreign applicants having to complete local taxation law, company law and other subjects as required.
The ICAA has bilateral agreements in place with professional associations in England and Wales, Scotland, Ireland, Canada, South Africa and the United States, allowing applicants registered with those associations to be seen as holding equivalent qualifications to those of ICAA members.
The NIA requires foreign applicants holding qualifications at least equivalent to an Advanced Diploma to undertake additional studies in at least Australian company law, Australian taxation law and financial accounting. Membership of certain professional associations in the United Kingdom satifisfies eligibility requirements to join the NIA.
For contact details see Operational Requirements, above.
Company Auditing and Insolvency
The areas of company auditing, insolvency and financial services are regulated and non-Australians and Australians face the same registration requirements. There are no barriers to non-Australians registering, provided they meet the registration criteria.
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The accounting organisations in Australia plan further mutual recognition of qualifications with individual overseas professional accounting organisations.
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Discriminatory Treatment/ MFN
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No improvements implemented since the last IAP (see Current Entry Requirements). |
There is no regulatory discrimination between Australian and non-Australian suppliers.
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No further improvements planned (see Current Entry Requirements). |
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Chapter 3 (a:3): Business Services : Architecturel |
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Section |
Improvements Implemented Since Last IAP |
Current Entry Requirements |
Further Improvements Planned |
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Operational Requirements
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No improvements implemented since the last IAP.
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Principal Regulatory Instruments
· State/Territory government legislation and registration requirements.
To use the term 'architect', you must be registered − the relevant legislation in each State and Territory is the 'Architects Act’. The title of 'architect' is, therefore, protected by law. Responsibility for the control of building activity in Australia rests with the individual State and Territory governments, each of whom maintains legislation prescribing the technical standards required for building construction. Legislation is administered by a Board of Architects in each State and Territory. Links to relevant legislation and contacts follow:
Board of Architects of
New South Wales Legislation: http://www.austlii.edu.au/au/l
Board of Architects of
Queensland Legislation: http://www.austlii.edu.au/au/l
Architects Board of
South Australia Legislation: http://www.austlii.edu.au/au/l
Board of Architects of
Tasmania Legislation: http://www.austlii.edu.au/au/l
Architects Registration
Board of Victoria Legislation: http://www.austlii.edu.au/au/l
Architects Board of
Western Australia Legislation: http://www.austlii.edu.au/au/l
Architects Board of the
Australian Capital Territory Legislation: http://www.austlii.edu.au/au/l
Northern Territory
Architects Board Legislation: http://www.austlii.edu.au/au/l
An architect provides professional services in connection with the planning and design, construction, enlargement, conservation, restoration or alteration of a building or group of buildings. An architect also prepares technical documentation for construction and administers building contracts.
While the title of architect is protected by law, architectural activities are not regulated in Australia.
Responsibility for the control of building activity in Australia rests with individual State and Territory governments, who each maintain legislation prescribing the technical standards required for building construction.
The Australian Building Code Board (a Commonwealth-State body) has developed the Building Code of Australia. |
No further improvements planned.
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Licensing and Qualification Requirements of Service Providers
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No improvements implemented since the last IAP.
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Qualification requirements for architects include: · a degree level qualification: Bachelor of Architecture − generally 5-6 years full-time study; · successful completion of the Architectural Practice Examination; · a minimum 2 years experience in the practice of architecture or in an approved technical capacity on building or allied work (18 months of which must be gained in the practice of architecture generally under the direction of an architect); o 12 months of the 2 year period must be post-graduation; and o an alternative to a university-level qualification is completion of the competency based National Program of Assessment; · overseas experience may be recognised, but a minimum of 1 year approved experience in Australia must be completed.
For more information see the website of the Architects Accreditation Council of Australia: http://www.aaca.org.au/.
Under the Trans-Tasman Mutual Recognition Arrangement, architects who are currently registered in New Zealand are eligible for registration in Australia.
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No further improvements planned.
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Foreign Entry
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No improvements implemented since the last IAP.
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There are no nationality, citizenship or residency requirements for registration as an architect. There is, however, a requirement to work in the Australian industry for 12 months before seeking registration to become familiar with local laws and conditions.
In the WTO context, Australia has made comprehensive market access commitments on the practice of foreign architects.
Australia is supporting the APEC Architect project which began in 2000. The project will lead to the establishment of a mobility framework and registers for architects. A total of 15 economies attended the fourth Steering Committee meeting on 22-23 September 2004, where the Provisional Central Council was established.
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The Central Council for the APEC Architect project will be formally endorsed at the next Provisional Council meeting, scheduled for June 2005. It is anticipated that Central Council policy, procedures and guidelines for the establishment of the Register will be agreed at the meeting.
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Discriminatory Treatment/ MFN
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No improvements implemented since the last IAP (see Current Entry Requirements).
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There is no discriminatory treatment of foreign architects and the MFN principle is applied in this sector. In the WTO context, Australia has made comprehensive national treatment commitments in this sub-sector.
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No further improvements planned (see Current Entry Requirements).
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Chapter 3 (a:4): Business Services: Engineering |
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Section |
Improvements Implemented Since Last IAP |
Current Entry Requirements |
Further Improvements Planned |
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Operational Requirements
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No improvements implemented since the last IAP.
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Principal Regulatory Instruments
· Government regulation in Queensland by the Board of Professional Engineers Queensland, under the Professional Engineers Act 2002.
· Industry endorsed regulation through the National Profesisonal Engineers Register, supported by Engineers Australia.
Engineering is a partially-regulated profession in Australia. In Queensland, a person must be registered to carry out professional engineering services. There are no registration requirements in the other States and Territories of Australia, where the profession can be considered self-regulated.
In Queensland, an individual must be registered to carry out professional engineering services. The Board of Professional Engineers Queensland (BPEQ) registers professional engineers. Since January 2003, there has been no requirement in Queensland for the registration of a professional engineering company or a professional engineering unit.
Some professional engineering activities are regulated. For example the Building Code of Australia (BCA) is produced and maintained by the Australian Building Codes Board on behalf of the Australian Government and State and Territory governments. The BCA has been given the status of building regulations by all States and Territories.
Engineers Australia is the principal professional body for engineers in Australia. It accredits engineering qualifications and sets national standards that are supported by the profession.
Engineers Australia: · assesses applicants for Chartered Status; · accredits Bachelor of Engineering and Bachelor of Technology (Engineering) courses offered by Australian universities, and has a program of recognition for three-year and two-year engineering programs in the Technicaland Further Education (TAFE) sector; · assesses, on behalf of the Australian Government, the credentials of foreign engineers for the purpose of General Skilled Migration to Australia; · participates in multilateral engineering agreements such as the Washington Accord, APEC Secretariat, and bilateral agreements (ie, Mutual Recognition Agreements); · supports at arms length the National Professional Engineers Register (NPER) and the National Engineering Technologists Register (NTER); and · operates disciplinary procedures. For further information see http://www.engineersaustralia.
The National Engineering Registration Board: · establishes and maintains national, voluntary, non-statutory registers such as the National Professional Engineers Register (NPER) and the National Engineering Technologists Register (NETR), as well as a number of specialised registers; · endorses or adopts registration systems that protect the community; · ensures national registers operate with integrity in respect of Competition Policy; · ensures national registers recognise stakeholder requirements (stakeholders include the community, government, industry, the engineering profession and other interested parties); · adopts audit and review systems that are open and accountable; and · provides an accessible independent appeal system.
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No further improvements planned.
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Licensing and Qualification Requirements of Service Providers
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No improvements implemented since the last IAP.
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Engineering is a partially-regulated profession in Australia. Engineers must be registered in Queensland, but there are no registration requirements in the other States and Territories of Australia. However, some professional engineering activities are regulated.
There are no specific nationality, citizenship or residency requirements an individual must fulfil to be entered on the NPER or NETR or to practise as a chartered professional engineer in Australia. However, an applicant must: · demonstrate awareness of national and any local standards, rules and practices; and · be assessed as meeting the national competency standards for professional engineers at the chartered level.
Registration in Queensland as a professional engineer requires the person to: · hold a degree in engineering granted by an approved school of engineering, or a qualification in engineering granted by a tertiary institution which entitles the person to be admitted to Engineers Australia as a graduate member; and · demonstrate competencies in the practice of engineering, as provided for under a regulation that - a) may relate to the practice of engineering in each area of engineering; and b) may include requirements about the following for each area ofengineering: (i) the nature, extent and period of practice of engineering by the applicant; (ii) the nature and extent of any research, study or teaching,relating to engineering undertaken by the applicant; and (iii) the nature and extent of any administrative work relating toengineering performed by the applicant. There are no specific nationality, citizenship or residency requirements for registration in Queensland.
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The Board of Professional Engineers Queensland (BPEQ) is drafting new regulations for the registration of professional engineers, specifying the qualifications and competencies required. BPEQ will then establish procedures for the assessment of applicants.
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Foreign Entry
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The (international) APEC Engineer Coordinating Committee has agreed on a common format for bilateral mutual recognition arrangements to underpin the APEC Engineer framework.
In October 2003, Australian and Japan signed A Bilateral Framework to facilitate mobility for Mutual Recognition of Registered/ Licensed Engineers under the APEC Engineer framework. The framework permits the registration or licensing in each country of the other country’s registered or licensed engineers who are also APEC Engineers. |
Since the APEC Engineer mobility framework was established in 2000, 11 economies have been authorised to operate APEC Engineer registers. They are: Australia, Canada, Hong Kong (China), Indonesia, Japan, Korea, Malaysia, New Zealand, The Philippines, the United States and Thailand. Engineers are enrolled on the basis of Assessment Statements presented to the Coordinating Committee. Singapore, Chinese Taipei and Vietnam have also expressed interest in operating a register. There are now over 500 engineers on the Australian register.
Foreign engineers may practice in Australia without registration, except in Queensland. However, they must have the requisite demonstrated awareness of national and local standards, rules, and practice. States and Territories other than Queensland impose legislative requirements for registration for some activities.
In States and Territories other than Queensland, there are no restrictions on establishing engineering companies other than the foreign investment guidelines (see Chapter 4, Investment).
In the WTO context, Australia has made comprehensive market access commitments for engineering services. | |