International Trade
Issue No. 60 - August/ /
Slick systems the key to import-export
SA-owned export finance firm, Customs Agency Services has served South Australian exporters for 35 years, following trends in international trade which aid or confront our commercial efforts.
Principal, Mark Callus says the current trading environment is tough, with many of Australia’s trading partners struggling with slow economies.
“Of course a high AUD makes Australian exporters less competitive in the global market,” Mark says.
“If that isn’t a big enough challenge, many countries around the globe, particularly Europe and North America, are still feeling the effects of the GFC. Those who have customers in Japan (Australia’s No 2 trading partner) are particularly struggling at the moment.”
However, Mark’s import customers are seeing the upside of the high dollar.
“Not only does it mean that their import products, cost substantially less, but so too is their freight cost, as they are usually costed in Euro or US currencies,” he says.
“Having said that, existing high AUD does entice some of our customers’ end customers to go directly to overseas suppliers, to buy small quantities online.”
Most markets around the globe are still struggling, in particular Japan, North America, and many European countries.
“However Asia, in particular China, and a number of South American economies are the positive standouts,” Mark says.
“The good news is that this is a distinct advantage to Australian exporters, as many of these growth countries are geographically close to Australia which reduces the freight costs and transit time, and they are in similar time zones, which ...
