EXPLANATORY STATEMENT
CUSTOMS ACT 1901
CUSTOMS REGULATIONS (AMENDMENT)
STATUTORY RULES 1990 NO. 220
ISSUED BY THE AUTHORITY OF THE MINISTER OF STATE FOR SMALL BUSINESS AND CUSTOMS
Section 270 of the Customs Act 1901 (“the Act”) provides in part that “The Governor-General may make regulations not inconsistent with this Act prescribing all matters which by this Act are required or permitted to be prescribed or as may be necessary or convenient to be prescribed for giving effect to this Act or for the conduct of any business relating to the Customs, …”
The Statutory Rules amend the Customs Regulations by providing a prescribed circumstance whereby the Comptroller-General may approve the entry of bulk spirit into home consumption.
Background
Section 105 of the Act prohibits the entry into home consumption of bulk spirit unless prior written approval of the Comptroller-General has been obtained. Sub-section 105(2) of the Act places certain constraints on the Comptroller-General’s approval; specifically bulk containers must not have a capacity of more than 20 litres, or such other volumes as are prescribed.
It has now come to attention that the restriction of 20 litres is too restrictive for one particular spirit importation, and a higher bulk container ceiling is therefore proposed.
There is an established production practice for flavoured wines whereby duty paid imported whisky is used in the manufacturing of these wines. The National Health and Medical Research Council (NH & MRC) Foods Standards Code for wine provides for the addition of aromatics to produce flavoured wines. Industry accepts the use of matured spirit (whisky) as an aromatic in the production of flavoured wines subject to compliance of the end product with the NH & MRC Standard.
To enable the importation and entry for home consumption of bulk whisky so that the flavoured wine production practice might continue, Regulation 2 of the Statutory Rules prescribes a bulk container ceiling of not more than 300 litres in respect of containers that contain whisky, which is to be used as an aromatic in the production in Australia of wine cocktail, vermouth, flavoured wine or wine aperitif, as described in paragraph 8 of Part P4 of the Food Standards Code. Regulation 1 of the Statutory Rules defines “Food Standards Code” as being the Foods Standards Code as in force on 14 April 1987, which was adopted by the National Health and Medical Research Council on 19 March 1987 and approved by the National Foods Standards Council on 14 April 1987.