Free Trade Agreements:

Australia – India Economic Cooperation and Trade Agreement (AI-ECTA):

After many years of negotiations the AI-ECTA is due to come into force from the 29^th December 2022. The result of this agreement will be more than 96% of imports from India to Australia will be duty free. The other items not duty free from the 29^th of December will be phasing down to eventually be duty free. We are awaiting full detail on the specific tariff data to expand on this process.

Of greater benefit is the export side of the agreement with a substantial amount of Australia’s export to India either being duty free from day one or having phasing rates of duty to eventually be duty free.

The agreement requires official Certificates of Origin to be issued by registered authorities and a list of these authorities will be issued as the 29^th December gets closer.
We will continue to provide updates on this agreement as more information comes to hand.

Australia – United Kingdom Free Trade Agreement (A-UKFTA)

The legislation underpinning the A-UKFTA has passed the Australian Parliament and is now awaiting the UK to complete all official documentation before coming into force.
It was hoped this agreement would run on the same timeline as the Indian agreement but that ahs not been the case. The expectation is in early 2023 this agreement will come into force and all details will be released.

Australia – European Union Free Trade Agreement (A-EUFTA)

Negotiations are continuing on the detail within the A-EUFTA. Whilst the Australian government has issued statements they hope this agreement will come into force mid 2023 there is a number of issues to be negotiated before this can happen.

It is our expectation in Q2 next year further comprehensive detail will be available and we can provide these updates.

Freight Rates:

It was well advertised that the extremely low freight rates, especially from China, could not last. We have received notification that freight rates from China will start increasing from the 15^th December. Shipping lines are implementing strategies to constrict supply to force freight rates to increase, There is also added optimism from China that COVID lockdowns may not continue and therefore allow more continuity into supply chains.

Vox is continuing to negotiate on a case by case basis and will provide the best rates for the services required by our customers.

Biosecurity Fee increase:

Department of Agriculture, Fisheries and Forestry (DAFF) have advised there will be in increase in their fee charged on each import declaration. Currently the DAFF portion of the import processing charge is $49.00, this will increase to $58.00 from January 16^th.

The department has advised the increase is to allow them to continue to provide the services in an efficient and effective manner.

Merry Christmas and Happy New Year:

We would like to take this opportunity to wish all our clients, suppliers, partners and families a safe and Merry Christmas and a Happy New Year.
2022 has been as much of a challenge as the past 2 years and we look forward to working through the myriad of challenges that will arise in 2023.