Managing risk and targeting opportunities for Australian exporters

It has been a testing time for many businesses who have been affected by the current economic downturn due to the current health situation, and this impact varies across regions.

For Australian exporters it is not all doom and gloom, but it is now more important than ever to start planning for the new normal.

Toowoomba and Surat Basin Enterprise (TSBE) recently hosted a webinar with industry experts aimed at providing information for exporters in both food & agribusiness and oil, gas and energy resources to discuss how to manage risks and target opportunities during COVID-19.

TSBE Export Manager for Food and Agribusiness, Justin Heaven said “the impact of COVID-19 on global supply chains poses continual challenges for exporters in managing trade, but also presents an opportunity to forge stronger partnerships when re-assessing current supply chains.”

“This webinar was a great opportunity for exporters to clarify how best to manage change and take advantage of the opportunities in this rapidly changing world of exports.”

Queensland senior trade & investment commissioner to China, Julie-Anne Nichols was one of the speakers in the webinar.

“Like the rest of the world, China’s economy is taking a big hit from COVID-19 and many aspects of the economy, industry sectors and business platforms and channels have already seen disruption and continue to change every day.”

“Despite the challenges, some new positive trends have emerged including growth of e-commerce, new infrastructure investment, and digitisation of health and education sectors. These present opportunities for Queensland.”

TIQ and TSBE are working together to help Queensland businesses unpack these opportunities and position for continued, sustainable commercial engagement with China, our largest trading partner and long term friend.

Toowoomba Wellcamp Airport exports approximately 50 tonne of freight on a weekly basis to Hong Kong and further abroad.

Air Cargo Development Manager, Ian McFarlane said “there is capacity to support more frequent services, and we are assessing the viability of commencing additional freight services in the near future.”

Wellcamp Airport understands there is a demand in the region and can develop export solutions for exporters.

National Skills Development Manager for the Export Council of Australia, Shane Styles, has an extensive network of international contacts and his insight into business operations and change management was valuable for attendees looking at managing the impacts on supply chains at this time.

“We are not in a sprint, this is going to be a marathon”, Mr Styles said.

“We all need to take a breath and think clearly so we can plan better than we’ve ever planned before.”

“It’s the decisions we make now that will determine where we are placed come September.”

Diversification is key and exporters are being advised to review their payment terms and get everything in writing as a way to mitigate risk.

Businesses need to be ready to adapt the structure in which we do business and create contingencies that are targeted, modest and scalable.

There are opportunities for Australian businesses, but cash flow is the inhibitor.

TSBE will be running a series of webinars in the coming weeks. Visit www.tsbe.com.au to keep up to date.