Senate Foreign Affairs, Defence and Trade Legislation Committee [Part 2], , 32:02 to 39:28
Austrade CEO Paul Grimes discusses the independent review of the Export Market Development Grants (EMDG) program and addresses industry concerns regarding funding adequacy and tier design.
Topics: Austrade, Export Market Development Grants, Grants administration
Speakers: Dr Paul Grimes, Sarah Henderson, Raff Ciccone, Senator Raff Ciccone, Senator Sarah Henderson
Uh, I'd now like to welcome the chief executive officer of the Australian Trade and Investment uh Commission. Good evening. >> Good to see you Paul. Um, and to all your officers at the table and behind you, >> did you have an opening statement? >> Uh, no chair, I don't have a note. >> Happy to go straight to questions. You happy to go to straight to questions? >> Straight to questions. Yes, chair. Happy to go straight to questions. Thank you,
>> Senator Henderson. >> Thank you very much, Chair Mr. Grimes. Good evening to you and your team. I just wanted to ask about the export market development grants. Uh so given tiers and appropriation levels are out of scope for and this is about the independent review uh for the independent review. What internal governance process exists to address tier design and funding adequacy outside
the review? >> So um Senator the um review will inform the next round of the EMDG um program. So uh logically it makes sense to for the government to receive that review um and then in consultation um and in conjunction uh with the receipt of that review um OS trade will then progress the work around the design of the next round of EMDG grants.
>> Has the independent reviewer reported to the minister or
uh the department? Uh no Senator the um independent review is in the final stages of finalizing his report but it has not been finalized yet and it has not been provided to the uh minister for trade and tourism
>> and and just in terms of what what are the so you haven't had any update at all
or any progress report? So um the um OS trade supports the reviewer in his work but he hasn't completed his independent report uh and that will be completed I would imagine in coming weeks but it will be some weeks before he completes the report and then submits it to the minister for consideration recognizing that the next round we wouldn't be anticipating uh that that would open until late towards the end of this year.
>> Mr. Mr. Grimes, there is some really genuine concern u from industry that the review was quite a superficial exercise with limited scope and authority to address the program's fundamental issues and can I just put to you and ask you to respond on industry feedback. So applicants are frustrated by the lack of funding. Um this tiered system is overly complex and this first come firsts served approach which of course is contrary to the whole notion of competitive assessment is is also has you know caused enormous issues as well. Can I get you to respond to
those concerns? >> Uh well I certainly see um Mr. Yin's report as providing an excellent opportunity to air and consider a number of those concerns that have been raised by stakeholders. Um, Senator, you quite >> accept those concerns, Mr. Grimes. >> Senator, I was I was I was finishing my answer. >> Um, you um appropriately um, you know, drew attention to the fact that there are broader policy parameters as well. Um and in the leadup to the next uh round of the MDG, um OS trade will ensure that we're consulting and listening to stakeholders and indeed um ensuring that we provide well balanced and considered advice to the Minister
for Trade and Tourism >> except for the fact that so much of the concerns about this program falls outside the review and so there is concern that this is just a box ticking exercise. The major
concerns that I'm aware of are concerns as you indicated that relate to the first in um you essentially the first in best dress model. Um and I'm very confident that Mr. Yand is >> has and will have a very good opportunity to fully um uh consider the matters that have been raised by uh by
stakeholders. >> Is is O Trade separately making a submission to the review? No, we're not
separately making um submission to the review, but in the normal course of events, we would expect that once the review has been completed and submitted to the minister. The minister may seek advice from us uh and would provide any further advice at that stage.
>> So, you're not able to assess the draft recommendations or put have some input
at all? As I indicated, um, Senator, we support the reviewer in the preparation of his review report, but at the end of the day, the final review report is a matter for the independent reviewer. And as you'd expect, I want to be, you know, quite um, uh, quite respectful that at the end of the day, the reviewer has the final say on the recommendations that he is making to the trade trade and
tourism. Have you consulted with the reviewer on at all in relation to any
aspect of his >> in the in the conduct of his report? We um regularly have uh conversations with the re reviewer because OS trade provides the secretariat support to support him in the um uh in the uh
development of his report. >> And have you provided any feedback on any draft or any aspect of any draft?
Yes, we would we we would provide um feedback to the reviewer, but at the end of the day, as I was saying before, Senator, the the reviews recommendations are a matter for the reviewer.
>> No, I understand that. So, you what have you been doing? You've been looking at draft versions of certain parts of the
report. >> The reviewer is currently um finalizing his report. As he does that, he's seeking um support from Osrade. We're providing that support. Um but at all stages any support that we provide um will be subject to his consideration.
>> Okay. All right. And is there anything else that you wanted to report at all about about >> about the review only >> I guess to give industry confidence Mr. Grimes? So >> industry does feel confident that some of these core problems [clears throat]
>> are being addressed only the point that I made earlier and that is that um we see I certainly see the um the review as an excellent opportunity to reflect on the experience of the of round four. Are there any lessons to be learned and uh opportunities to uh improve the program?
>> Okay. Is there any could we have on notice the the documents that you have reviewed please as part of this review? >> Take that on notice. >> Uh thank you very much. What would you like to see? I mean I understand that it's independent but what would you like to see come out of the review and what improvements do you believe are warranted to ensure that industry has greater confidence in these grants? I I
don't believe it's appropriate for me to be speculating on the the recommendations of the review, but I I'm very happy to say that I would expect that the reviewer will be listening to the views that are being put forward by stakeholders, be taking those into consideration and providing some well-considered um recommendations for the minister's consideration.
>> Okay. All right. Well, look, I will leave my [clears throat] questions there. So, thank you very much for your attendance this evening.