Export Market Development Grants Determination of the Payout Factor for Grant Year 2015-16

Overview

The Export Market Development Grants Act 1997 was enacted to address the need for financial support to Australian businesses seeking to expand their export activities and enter new markets. This legislation provides a framework for the Australian government to offer grants aimed at enhancing the competitiveness of Australian products and services in overseas markets, thus contributing to economic growth and job creation within Australia. The Act was introduced by the Parliament of Australia with the policy objective of fostering international trade and investment by assisting businesses with the costs associated with developing and entering new export markets. The 2017 determination of the payout factor for the grant year 2015-16, made by Kelly Ralston, General Manager – International Education, Government and Programs, Australian Trade and Investment Commission, under section 69 of the Act, signifies the government's ongoing commitment to supporting Australian businesses in their global trade endeavours.

Scope and Application

The Export Market Development Grants Act 1997 applies to entities and persons seeking to benefit from grants intended to foster the development of export markets. Specifically, this Act governs the eligibility criteria and the process for applying for, and the disbursement of, grants aimed at enhancing Australia's export capabilities. These grants are intended for businesses and organisations that aim to expand their market presence and competitiveness in overseas markets. The Act operates at a national level, meaning its provisions apply across Australia, irrespective of state or territory boundaries. Notably, this Act does not explicitly outline exclusions or exemptions, suggesting a broad application to eligible applicants. However, the Act's scope and application can be further refined or extended through subordinate instruments, such as regulations or determinations, which may specify particular industries, types of conduct, or transactions that fall within or outside the purview of the Act. For example, the referenced determination concerning the payout factor for the grant year 2015-16 is a specific application of the Act, clarifying the financial parameters for grant disbursements during that period.

Key Provisions

The Export Market Development Grants Act 1997, as amended, contains several key provisions that are essential for understanding the legislative framework governing export market development grants in Australia. Section 69 of the Act specifically empowers the General Manager – International Education, Government and Programs of the Australian Trade and Investment Commission to determine the payout factor for a given grant year. This determination is a critical step in ensuring that the grants are allocated in a manner that supports and encourages Australian businesses in their international market expansion efforts. In the context of the 2015-16 grant year, the determination made under Section 69 sets the payout factor at 0.6450483. The obligations imposed by the Act on the parties involved are quite straightforward. The Australian Trade and Investment Commission, through its General Manager, has the responsibility to determine the payout factor based on the criteria set out in the Act. This process must be conducted in good faith and with due consideration of the relevant economic and market conditions that could impact the efficacy of the grants. The determination must be made by the specified date each year to ensure that businesses have timely access to the necessary funding for their export activities. Additionally, the determination must be documented and made available to the public, thereby maintaining transparency and accountability in the grant allocation process. Failure to comply with the provisions of the Act can lead to significant consequences. While the specific penalties for non-compliance are not detailed in the Act itself, breaches of statutory duties or misrepresentations in the determination process could potentially result in civil or criminal liability under other relevant Australian laws. Civil penalties may include fines and orders for restitution, while criminal penalties could involve imprisonment, depending on the severity of the breach and the intent behind it. The maximum penalties would be determined by the applicable legislation governing administrative law and corporate offences. It is important for all parties involved to adhere to the Act’s requirements to avoid these potential repercussions.