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Buy Australian

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Buy Australian
NameBuy Australian
Introduced20th century
JurisdictionAustralia
Typeprocurement and marketing initiative
RelatedAustralia–United States Free Trade Agreement, Australia–China relations, Australian Made

Buy Australian is a policy and public campaign advocating preference for products and services produced in Australia across procurement, retail, and civic choices. It encompasses government procurement rules, private sector procurement preferences, certification and labelling programs, and consumer marketing efforts by organisations and industry groups. The movement intersects with international trade instruments, domestic manufacturing policy, and national debates involving trade partners such as China and United States.

History

The origins trace to interwar and postwar protectionist debates that involved figures and institutions like Stanley Melbourne Bruce, the Commonwealth Bank of Australia, and tariff settings debated in the Australian Parliament. Early twentieth-century protectionism was shaped by events including the Great Depression and wartime mobilization in World War I and World War II, which influenced later procurement norms in agencies such as the Department of Supply and the Defence Materiel Organisation. In the late twentieth century, treaties such as the Australia–United States Free Trade Agreement and the Australia–New Zealand Closer Economic Relations Trade Agreement reframed procurement practice. The contemporary notion surfaced alongside campaigns by industry groups like the Australian Industry Group and marketing bodies such as Australian Made, with legislative episodes in the Australian Senate and the House of Representatives shaping statutory procurement frameworks.

Objectives and Scope

Proponents articulate objectives aligned with industrial policy pursued by entities like the Productivity Commission and ministers in the Treasury (Australia) and Department of Industry, Science and Resources (Australia). Goals include preserving jobs in regions served by firms such as BHP, supporting supply chains for sectors like automotive manufacturing formerly represented by Ford Australia and General Motors-Holden, and maintaining sovereign capacity relevant to agencies like the Australian Defence Force. Scope spans municipal procurement by councils such as the City of Sydney, state procurement regimes in jurisdictions including New South Wales and Victoria (Australia), and federal contracting for projects managed by bodies like the Department of Infrastructure, Transport, Regional Development and Communications.

Certification and Labelling Programs

Certification regimes have been administered by bodies such as Australian Made Campaign Limited and standards referenced to the Standards Australia system. Labelling programs aim to distinguish goods with origin claims under rules informed by legislation like the Competition and Consumer Act 2010 and decisions of tribunals such as the Australian Competition and Consumer Commission. Labels and marks—paralleling international examples like the Made in USA mark—seek to reduce information asymmetry for consumers purchasing from retailers such as Woolworths Group (Australia) and Coles Group. Certification interfaces with customs declarations managed by Australian Border Force and documentation used by exporters dealing with partners including Japan and South Korea.

Economic Impact and Trade Effects

Analyses by the Reserve Bank of Australia and the Productivity Commission assess effects on prices, employment, and trade flows. Preferential procurement can protect firms in sectors once substantial in Australia—mining services linked to Rio Tinto, manufacturing suppliers to Qantas, and food processors supplying supermarkets—while potentially increasing costs for public projects following international scholarship on protectionism exemplified by debates around the Smoot–Hawley Tariff Act in the United States. Trade partners such as China and members of the World Trade Organization monitor national procurement measures for compliance with treaties like the Agreement on Government Procurement, raising disputes familiar from cases in the WTO dispute settlement system.

Criticisms and Controversies

Critics include economists and advocacy groups citing work from institutions like the Grattan Institute and reports presented to parliamentary committees in the Joint Committee of Public Accounts and Audit. Objections focus on potential inefficiencies, higher taxpayer costs, and retaliation from trade partners such as European Union trading blocs. Controversies arise when locational rules are perceived to disadvantage small businesses in regions represented by MPs in the Australian Labor Party or the Liberal Party of Australia, or when allegations of misleading origin claims prompt enforcement actions by the Australian Competition and Consumer Commission.

Government Policy and Procurement

Federal procurement policy evolves through instruments like the Commonwealth Procurement Rules administered by the Department of Finance (Australia), and through legislation considered in forums such as the Parliament of Australia. State governments implement policies via procurement bodies in places such as the Government of Western Australia and Queensland with programs to prefer local suppliers for infrastructure projects administered by departments like the Department of Transport and Main Roads (Queensland). Defence procurement engages agencies including Defence Industry Ministerial Advisory Board and prime contractors like Thales Group and BAE Systems operating in Australia, raising questions about national security and supply-chain resilience.

Public Perception and Campaigns

Public campaigns are run by groups including Australian Made and industry associations such as the National Farmers' Federation, and framed by media outlets like the Australian Broadcasting Corporation and major newspapers such as The Australian and The Sydney Morning Herald. Opinion polling by organisations including Roy Morgan Research gauges consumer sentiment about domestic sourcing versus imported goods from partners like United States and China. Grassroots movements, chambers of commerce such as the Australian Chamber of Commerce and Industry, and high-profile corporate campaigns shape perceptions during electoral cycles involving leaders like Prime Minister of Australia and ministers responsible for industry policy.

Category:Economy of Australia