Multiple news agencies reported last week that the Australian government is going to have a subsidy program for the country’s security equipment and ammunition industry.
The objective is to move up Australia among the top exporters of defense equipment.
Australia’s minister for defense industry termed New Zealand, UK, US, Canada as the potential markets for Australian products to meet export targets.
However, industry experts opine that Australian defense manufactures will have to face an exasperating route to get to the Canadian market because of several factors.
For instance, the procedure of buying imported equipment in the country is very drawn out. Foreign companies have to show patience and resolve for operating in the Canadian market.
Moreover, to get the operational contract, companies must have a middling presence in the Canadian market and satisfy the authorities with beneficial prospects of their business for the country.
To achieve this prerequisite, companies have to make coalitions with Canadian-based businesses. Having a physical presence in the country can also speed up the licensing processing.
Australia and Canada shares an intelligence alliance with three other countries called FVEY. This bond will surely help Australian defense manufactures in navigating through the market of another FVEV member.
Nevertheless, it will be difficult for Australian manufacturers to easily get into the US market with Trump administration in-charge.
Meagan Kozlovs is a reporter for Debate Report. She’s worked and interned at Global News Toronto and CHECX. Megan is based in Toronto and covers issues affecting her city. In addition to her severe milk shake addiction, she’s a Netflix enthusiast, a red wine drinker, and a voracious reader.