Australian Customs must play greater role in facilitating trading opportunities, says new Lowy Institute Analysis

In a new Lowy Institute Analysis, Nicholas Humphries Australian Customs and Border Protection Service Fellow at the Lowy Institute examines how Customs can increase Australia’s trade competitiveness at a time when goods and services are increasingly produced across borders in so- called ‘global value chains’ (GVC).

The Analysis argues that to harness the opportunities of a changing global trading environment Customs must develop an Authorised Economic Operator (AEO) program. AEO programs are currently being established around the world as a means of rewarding low-risk traders with secure supply chains.

“Without an AEO program, Australia is at a severe competitive disadvantage”, argues report author Nicholas Humphries

Humphries argues that an AEO program will enable Customs to help Australian industry exploit new global trading opportunities, while still providing the Australian community with border protection services.

“Customs must be part of a whole-of-government approach to increased GVC participation. Without it local industries will struggle to benefit from the new forms of international trade”, he concludes.

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This Analysis was written as a part of the Australian Customs and Border Protection Service Fellowship at the Lowy Institute.