Brazil Talk: When did you join the Export Council of Australia, and what was your background prior to this?
Peter Mace: I joined the Australian Institute of Export (now the Export Council of Australia) in 2004. The connection the Institute had, and the support it provided to grass roots exporters, was a real interest for me and I wanted to contribute to that goal.
Most of my previous career had been in International Banking, working with Westpac, Citibank and Bank of America. I also had a 2 year term with EFIC, and so with that background international trade was a major interest for me.
Brazil Talk: What does your current role General Manager & State Manager, New South Wales entail?
Peter Mace: My current role focus is on the Education and Training activities of the Export Council. We have decided to continue to badge the education arm under the Australian Institute of Export, given the 50 years of history the Institute carries in export education, and the high recognition of the brand for quality trade training. We also manage 4 TradeStart offices in regional Victoria.
The Export Council has a wider role in events, advocacy, awards programs and general trade activities. Being a small organization staff wise we all pitch in to cover what currently needs doing, so the job role is very fluid and always dynamic, challenging and interesting.
Brazil Talk: What are the key issues for ECA members at present?
Peter Mace: There is a feeling among many small to medium exporters, that their very real concerns are not being heard. This in part was a catalyst for the formation of the Export Council. There are a number of headwinds facing our exporters, apart from a high AUD. For example the high cost of the Australian leg of the global supply chain. It is in areas like this that the Council intends to play a role in bringing the problem to the attention of Government and other agencies, and seeing how the process can be streamlined to make exporting from Australia a more competitive endeavour. For example, the recent global competitive index for 2012 shows that Australia has dropped from 16th to 20th place, a situation that is not in our national interest.
Brazil Talk: What is the greatest challenge for exporters now?
Peter Mace: It depends a lot on the industry segment you are in, and so there is no quick one-off fix for all problems. Certainly adjusting to a higher currency environment is one, and so is the downturn in some of the more traditional European and North American markets. However there is great potential opening up in Asia, in Africa and in Latin America. These are the areas where Austrade now has greater focus and this is where future export profits will be made. Australian companies need to be ready and actively looking for these upcoming opportunities.
Brazil Talk: And the greatest opportunity?
Peter Mace: I believe one of our biggest growth opportunities in the next decade will be in helping feed the world. Australia is a very competitive agricultural producer, and the quality and “clean & green” nature of our agri-products are already globally known. As more of the world’s population move into a ‘middle class’ and out of subsistence, diets change and the desire for meat, vegetables and fruit increase. Australia is subject to large variations in output caused by flood and drought, so a challenge is in developing back up production areas and an increased focus on irrigation to deliver more consistency.
Brazil Talk: What is the general consensus among your members in regard to the carbon tax?
Peter Mace: There is general support I think to working for a more sustainable use of our resources, but whether the carbon tax is the best response? It is certainly a detriment to our exporters who have to include it in their export inputs, when many competitors don’t. The most recent DHL Export Barometer (which many of our members participated in) found that 71% of respondents thought the carbon tax was too high.
Brazil Talk: How important is the environment and sustainability to Australian exporters? (or, is there a growing green consciousness among Australian exporters as the world gathers to mitigate the effects of climate change?)
Peter Mace: As above I think that exporters appreciate the value of caring for the environment and developing sustainable export activities. The value of these environmentally friendly production practices will become more important and more valued in the future, especially in relation to agriculture and food production.
Brazil Talk: What is the ECA environmental policy / stance on sustainability?
Peter Mace: The Export Council of Australia is conscious of all issues relating to the environment and encourages Australian business to implement affordable change to limit carbon dioxide emissions. The ECA is also aware of the need for Australian exporters to remain internationally competitive and therefore supports a multi-lateral approach to the implementation of controls on emissions.
Brazil Talk: What are the key products being exported from Australia to Brazil?
Peter Mace: Looking at the ABS Statistics, our major exports to Brazil include coal, crude petroleum, flat-rolled iron and steel, and electrical circuits. Of more interest though are the services areas including education, sport, energy technology and agricultural science. Off a small base, these are the areas of future interest to SME exporters.
Brazil Talk: What similarities do you see in terms of consumer demand in both Brazil and Australia?
Peter Mace: While Brazil and Australia have many competing industry sectors, there is also great opportunity for collaboration. Both are large mineral providers and agri producers. Brazil obviously has a larger population, and certainly there is a shared interest in areas like fashion, coffee, food and sport.
Brazil Talk: What relationships exist between the Export Council of Australia and relevant organisations in Brazil?
Peter Mace: The Export Council and ALABC have shared membership, and we are looking to develop that relationship to better support our members who have an interest in Latin America and in key markets like Brazil. Obviously the upcoming World Cup and 2016 Olympics will focus the world’s attention on Brazil and a lot of Australian exporters are taking notice.
Brazil Talk: How do you see the export relationship between Australia and Brazil strengthening in the future?
Peter Mace: The Australian Government has a renewed interest in Latin America, and Austrade are being better positioned to assist. As the largest market in Latin America, Brazil will be a key entry point, and the numbers of Australian tourists heading that way will build the links and understanding of what Brazil has to offer.
Brazil Talk: What advice would you give to Australia businesses considering exporting their products to Brazil?
Peter Mace: The Brazilian Chamber and ALABC are obvious places to start, as are the Government agencies of Austrade, EFIC and DFAT. We always encourage companies to visit the target market personally to properly assess the potential.
We worked with Sydney University, with support from ALABC and HSBC early in the year when a group of students undertook a project to assess market potential for 5 member companies looking to enter the Brazil market. The pre-briefing we provided for the students was comprehensive and covered all the practical areas that exporters would need to consider.
The students spent time in Sao Paulo and surrounds undertaking the review, and their report findings were comprehensive and very valued by the companies participating. This project was a wonderful success and we hope to repeat it in 2013.
Brazil Talk: What is the best thing about working for the Export Council of Australia?
Peter Mace: The ability to actively help Australian businesses to succeed, whether through our Education and Training programs, our Trade Publications, providing advice and running educational seminars.
Additionally being able to see export success and effort rewarded through the two programs that we run; the Premier’s NSW Export Awards and the Australian Export Heroes awards, provides the inspiration and reward to all of us at the ECA to keep going.
Brazil Talk: What’s on the horizon at the Export Council of Australia?
Peter Mace: The Export Council of Australia is in the very early and very exciting launch stages. We have the framework in place, and for the remainder of the year we are concentrating on building our partnership alliances with Australian industry association domestically and also our relationship with similar bodies overseas. As part of our role in supporting Australian exporters and representing the export community, we recently commenced two major research projects, the first project will examine the issue of high cost of trade facilitation for exporters within Australia and the second project is to analyse trade support programs in the top markets Australia competes with.
We are also about to launch industry working groups, who will provide input to the Export Council of Australia on export-related issues specific to their industry sector, such as: Industry capability, Barriers to export, Government policy, Free Trade Agreements, Marketing of Australian products/services, Market opportunities and research focus areas.
As we only launched the Export Council of Australia in April, we are still evolving and I see the Export Council growing rapidly over time. We are very keen to hear from the community as we go through this evolutionary period.
To find out more about the Export Council of Australia please go to www.export.org.au
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