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Retailers welcome new council but call for swift reduction of GST import threshold

Peak retail industry body the Australian Retailers Association said it welcomed the formation of the Retail Council of Australia but was calling for swift reduction of the Low Value Import Threshold (LVIT) after the Government response to the Productivity Commission’s draft report into the Australian Retail Industry was handed down today.

ARA Executive Director Russell Zimmerman said the Retail Council of Australia was a positive move forward for the industry as it provided a direct line to policy makers but said retailers needed urgent relief and criticised the Government’s decision to wait up to six months for a taskforce to report back about Customs processes rather than taking swifter action to reduce the LVIT.

“Retailers need relief now not in six months time and we’re calling on the Government to shorten this timeframe and have the taskforce hand down its final report within three months to ensure changes to Customs parcel handling process and a reduction of the LVIT can be made without unnecessary delay.

“The ARA is prepared to work with the proposed Government taskforce through its place on the Retail Council of Australia but it will be pushing for quick change to allow Australian retailers to compete with their global counterparts on a more even playing field at a time when they’re struggling to keep their doors open.

“We are pleased to see the Government putting due emphasis on the $240 billion retail sector with the formation of the Retail Council of Australia.

“Council members will include ANRA, who represents the big end of the retail sector, ARA representing small and medium retailers, COSBOA as well as the Shop Distributive and Allied Employees Association (SDA), which together truly represent the retail industry.

“The crucial advantage of the Council is that the Government will now have one point of contact for dealing with retail issues, including those highlighted in the Government’s response to the draft report such as tenancy, wages and the LVIT.

“Retailers have faced poor trading conditions for the last eighteen months as well as soaring rents and costs. The ARA intends to work as part of the Retail Council of Australia to balance the power between retailers and their landlords through addressing planning and zoning restrictions as well as working to harmonise and nationalise leasing legislation as quickly as possible.

“The Government has recognised concerns about the Fair Work Act and the ARA eagerly awaits the 2012 Award Review to work through some of these issues,” Zimmerman said.
For over 100 years, the Australian Retailers Association (ARA) has been the peak industry body in Australia’s $240 billion retail sector which employs over 1.2 million people.  Visit www.retail.org.au or call 1300 368 041.

-ends- For interview opportunities with ARA Executive Director Russell Zimmerman
contact: Andie McMaster, Media and Communication Officer T: 0408 613 178 E: media@retail.org.au

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