Government help for exporters going for dairy gold in Asia

Dairy businesses planning to build export sales in Asia should take advantage of the federal government’s Export Market Development Grants scheme, says industry group Dairy Connect.

The scheme assists new and existing exporters by covering 50 per cent of eligible market development costs above $5,000, according to CEO Shaughn Morgan.

“We noted in reading the UK Dairy voluntary dairy industry code that the UK government has a key role to play in supporting producers and processors build business in the European Union and beyond,” he said.

“The impact of this government support is to help mitigate the impact on producers and processors of the current global drinking milk glut.

“Austrade reports that there are great opportunities for high value branded Australian dairy products to our north and is keen to assist individuals and companies seeking to gain traction in rapidly emerging markets.”

The Export Market Development Grants (EMDG) scheme is an Australian government financial assistance program for aspiring and current exporters.

The EMDG scheme:
• encourages small and medium sized Australian businesses to develop export markets
• reimburses up to 50 per cent of eligible export promotion expenses above $5,000
• provides up to eight grants to each eligible applicant.

Leader of Austrade’s specialist food and beverages team, David Jamieson, said today that eligible grant scheme applicants could include producers, processors and ‘consolidators’ in any configuration.

“Dairy is a key export and this team is very much aware of the opportunities available for high value branded Australian products, “ he said.

“One of our challenges is that while there are new high value markets for Australian drinking milk, we’re constrained somewhat by lack of available product to export.

“These high value or so-called “premium” export opportunities are our core focus. Another example being the approximate A$100m growth of Australian infant formula exports to China in the last three years.”

David, who comes from a dairy industry background, says lack of investment in long-term brand marketing continues to be a restraint on premium export sales growth.

People seeking more information on the scheme should go to http://www.austrade.gov.au/australian/export/export-grants/what-is-emdg or contact Austrade on 132 878.