Australian Trade Commission
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Australian Commission Trade 01 Annual Report 2014–15 austrade.gov.au 2014–15AUSTRALIAN TRADE COMMISSION Part XX / Subtile. Section Title. Internal Page Concepts 1 a AUSTRADE AT A GLANCE Who are we? Our staff The Australian Trade Commission (Austrade) At 30 June 2015, contributes to Australia’s economic prosperity Austrade employed by helping Australian businesses, education 1,045 staff, 69 per cent institutions, tourism operators, governments and citizens of whom were employed in as they: client-focused operations in › develop international markets and promote Australia and overseas. Staff international education turnover was 7.2 per cent and the gender balance was 56 per cent › win productive foreign direct investment female and 44 per cent male. › strengthen Australia’s tourism industry › seek consular and passport services. What we do Our network Austrade promotes Australian exports At 30 June 2015, Austrade and attracts investment into Australia had 79 overseas offices in by generating market information and 47 different markets, and insights, promoting Australian capabilities, making 17 of those offices also provided connections through an extensive global network of consular services on behalf of the contacts, leveraging the ‘badge of government’ offshore, Australian Government. Within providing quality advice and services to exporters and Australia, Austrade had 10 offices, investors, and developing policy. Austrade also has complemented by a further 27 offices responsibility for policies and programmes to strengthen managed through Austrade’s Australia’s tourism sector. TradeStart network. Our outcomes OUTCOME 1 OUTCOME 2 Contribute to Australia’s economic prosperity The protection and welfare of by promoting Australia’s export and other Australians abroad through international economic interests through the provision timely and responsive consular and of information, advice and services to business, passport services in specific locations associations, institutions and government. overseas. Performance reporting Austrade’s success in achieving its outcomes is measured against the deliverables and key performance indicators detailed in the 2014–15 Portfolio Budget Statements for the Foreign Affairs and Trade portfolio. Results are summarised in Part 2 of this report, starting on page 15. b Australian Trade Commission Annual Report 2014–15 Cover photo: Anzac Bridge, Sydney. The dot graphic represents Austrade’s network. HIGHLIGHTS 2014–15 01 Provided value to Australian businesses Strengthened Australia’s tourism industry Austrade’s Service Improvement Study found Austrade helped attract foreign direct investment its net promoter score is very strong at +33, up into tourism infrastructure, including through five from +25 in the previous year, with 80 per cent major tourism projects, progressing more than of clients saying Austrade made a positive $2 billion worth of development that will support contribution to their business, and 78 per cent 12,000 jobs. Austrade also helped shape the new saying they’d achieved a commercial outcome as trial of 10-year visitor visas for Chinese tourists, a result of working with Austrade. See page 41. advanced reforms to working holiday visas, and delivered seven tourism employment plans in key Promoted the new North Asia free ‘hot spot’ regions experiencing acute labour and trade agreements skills pressures. See page 68. In partnership with the Department of Foreign Affairs and Trade, Austrade began promoting Supported Australian businesses through the benefits of the new North Asia free trade minister-led business missions and events agreements, helping Australian businesses Austrade delivered results for Australian to understand how they can fully exploit the businesses through minister-led business opportunities that the new agreements provide. missions and at business events around the See page 39. world, including Australia Business Week in India, the largest ever Australian business event to take Strengthened Australia’s capacity to attract place in India. See page 84. foreign investment Austrade organised 14 minister-led missions this Austrade appointed five senior investment year, involving 517 Australian companies and 650 specialists from the private sector, adding to registered Australian delegates. See page 103. Australia’s capacity to attract foreign investment. They work in close partnership with Austrade’s Provided for the long-term growth of the domestic and overseas networks, as well as state education and training sector and territory governments, to win productive Austrade initiated a long-term market foreign direct investment for Australia. See development plan for the education and training page 65. sector, Australian International Education 2025, to ensure the sector’s ongoing growth and Gained new investor visa responsibilities maximise its already valuable contribution to Austrade was given nomination responsibilities Australia’s economy, society and international for the Significant Investor Visa and a new standing. See page 50. Premium Investor Visa, working with the Department of Immigration and Border Protection Provided assistance through the Export on the design of the new complying investment Market Development Grants scheme framework for both programmes. See page 101. Austrade continued to administer the Export Market Development Grants scheme, which Opened a new Consulate-General in Houston, provides incentives for businesses to enter United States into export and grow to become sustainable In May 2015, Austrade opened an office in exporters, with nearly 3,200 exporters applying Houston, Texas, to attract productive foreign for grants in 2014–15, up 18 per cent on the direct investment to Australia, with a particular previous year. See page 116. focus on resources and energy, agribusiness, and advanced services, manufacturing and technologies. The new office also added to Austrade’s consular network. See page 92. Part XX / Subtile. Section Title. Internal Page Concepts 1 i Letter of transmittal Office of the Chief Executive Officer 14 September 2015 The Hon Andrew Robb AO MP Minister for Trade and Investment Parliament House Canberra ACT 2600 Dear Minister It is my pleasure to present to you the annual report of the Australian Trade Commission (Austrade) for the financial year 2014–15. The report has been prepared pursuant to section 63 of the Public Service Act 1999 and in accordance with the Requirements for annual reports for departments, executive agencies and other non-corporate Commonwealth entities, as approved by the Joint Committee of Public Accounts and Audit on 25 June 2015. The report reflects the matters that Austrade dealt with and the legislation it has administered in pursuing the outcomes of contributing to Australia’s economic prosperity and protecting the welfare of Australians abroad, at 30 June 2015. I certify that I am satisfied that Austrade, in accordance with section 10 of the Public Governance, Performance and Accountability Rule 2014, has: › prepared appropriate fraud risk assessments and a fraud control plan for 2014–15 › put in place appropriate fraud prevention, detection, investigation and reporting mechanisms that meet the specific needs of Austrade › taken all reasonable measures to appropriately deal with fraud relating to Austrade. In presenting this annual report, I would also like to acknowledge the contributions of my colleagues in Austrade and the professionalism with which they carry out their work. Yours sincerely Bruce Gosper Chief Executive Officer ii Australian Trade Commission Annual Report 2014–15 Australian Trade Commission Annual Report 2014–15 CONTENTS Austrade at a glance inside cover PART 04 Highlights from 2014–15 i FINANCIAL STATEMENTS 169 Letter of transmittal ii Independent auditor’s report 170 Certification of financial statements 172 PART 01 AGENCY OVERVIEW 1 Notes to and forming part of the financial statements 183 About Austrade 2 Austrade’s network 4 PART 05 Organisational structure 6 APPENDIXES 243 Chief Executive Officer’s review 7 A Austrade and TradeStart locations in Australia, and TradeStart partners 244 Chief Finance Officer’s review 13 B Austrade’s Service Charter 246 PART 02 C Work health and safety 248 REPORT ON PERFORMANCE 15 D Financial and staffing resources 250 Reporting framework 16 E Ecologically sustainable development and Outcome 1 17 environmental performance 253 Programme 1.1: Promotion of Australia’s export F Advertising and market research 256 and other international economic interests 17 G List of requirements 262 Programme 1.2: Programmes to promote Australia’s export and other international economic interests 113 List of figures and tables 267 Abbreviations and acronyms 269 Outcome 2 127 Index 270 Programme 2.1: Consular and passport services 127 Auditors and other information 280 PART 03 Austrade locations 281 MANAGEMENT AND ACCOUNTABILITY 133 Corporate governance 134 Corporate planning 139 Risk management 141 Legislative framework and external scrutiny 143 Management of human resources 145 Financial management and business assurance 161 Managing knowledge and information 165 Contents iii A brief history of Austrade 1 2 3 4 5 6 7 8 1985-86 9 10 11 12 Austrade was established by the Australian Trade Commission Act 1985, and several export assistance agencies, including the Export Market Development 1990 Grants board, were consolidated into one organisation. Austrade’s board commissioned McKinsey & Company Austrade also provided consular services in certain to review