Cheese, certain types
- Document symbol
- G/LIC/N/3/AUS/16
- Original language
- English
- Published on
- 27/11/2023
Outline of Systems
Q1. Give a brief description of each licensing system as a whole and, with respect to each, reply to the following questions as relevant, placing all of the material with respect to a given system in sequence together, and using cross references as appropriate when elements which have already been described are also present in another system.
Australia administers a tariff quota on imports of certain types of cheese and curd. Under the Cheese and Curd Quota Scheme the tariff quota applies to certain types of cheese and curd that can be imported at a concessional rate of duty ($0.096/kg) and is restricted to 11,500 tonnes per annum. Imports can be made outside the 11,500 tonne quota allocated each year, but a higher rate of duty ($1.220/kg) applies.
Purposes and Coverage of Licensing
Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.
No licensing system is maintained for out-of-quota cheese imports. For in-quota cheese imports, individuals or companies which have historically imported dutiable cheese under quota are allocated a share of the tariff quota, allowing them to import a quantity of cheese at the concessional rate of duty. Individuals or companies who do not have a share of the tariff quota may still import cheese at the out-of-quota tariff rate. The products covered by the tariff quota are as follows:
| Number 0406 | Product type Cheese and Curd | Rate of Duty |
|---|---|---|
| 0406.10 | Fresh (un-ripened or uncured) cheese, including whey cheese, and curd | $A0.096/kg (a) $A1.220/kg (b) |
| 0406.20 | Grated or powdered cheese, of all kinds | $A0.096/kg (a) $A1.220/kg (b) |
| 0406.30 | Processed cheese, not grated or powdered | $A0.096/kg (a) $A1.220/kg (b) |
| 0406.40.10 | Blue-veined cheese: - Roquefort, Stilton | Free (c) |
| 0406.40.90 | Blue-veined cheese: - Other | $A0.096/kg (a) $A1.220/kg (b) |
| 0406.90.10 | Other Cheese: - Cheese, of the following types: ● made wholly from goats' milk, other than feta or kasseri ● surface-ripened soft, having: ● a fat content in the dry matter of not less than 50% by weight, and ● a moisture content of not less than 65% by weight of the non-fatty matter | Free (c) |
| 0406.90.90 | Other Cheese: - Other ● includes Cheddar, Colby, Edam, Gouda, Havarti, Parmesan, Kasseri, Mozzarella, Provolone, Feta | $A0.096/kg (a) $A1.220/kg (b) |
(a) Rate for cheese imported within the tariff quota.
(b) Out of quota rate for cheese imported in excess of tariff quota amount.
(c) Not subject to the tariff quota. Included in table only to indicate coverage of residual tariff item ("other").
Note: The rate for developing countries is as shown in the table above, less 5% of the customs value (fob price) of the product.
Q3. The system applies to goods originating in and coming from which countries?
The scheme applies to cheeses originating in and coming from all countries. The Scheme does not apply to cheese and curd products that are :
• of Australian origin (e.g., returned Australian goods);
• of a preference country of origin (e.g., under a Free Trade Agreement); and
• subject to a free rate of duty under Schedule 3 of the Customs Tariff Act 1995.
Q4. Is the licensing intended to restrict the quantity or value of imports, and if not, what are its purposes? Have alternative methods of accomplishing the purposes been considered and if so which? Why have they not been adopted?
The licensing system is used to administer the tariff quota.
Q5. Cite the law, regulation and/or administrative order under which the licensing is maintained. Is the licensing statutorily required? Does the legislation leave designation of products to be subjected to licensing to administrative discretion? Is it possible for the government (or the executive branch) to abolish the system without legislative approval?
The licensing system is maintained under the Customs Act 1901 (Customs Act) and the Customs Tariff Act 1995. The system cannot be abolished without legislative approval.
Procedures
Q6. For products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally):
Q6.I. Is information published, and where, concerning allocation of quotas and formalities of filing applications for licences? If not, how is it brought to the attention of possible importers? Of governments and export promotion bodies of exporting countries and their trade representatives? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
The names of annual tariff quota holders and their quota allocation are made public through publication in the Commonwealth of Australia Gazette.
Q6.II. How is the size of the quotas determined: on a yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for fresh licence on a six-monthly or quarterly basis?
The size of the tariff quota is 11,500 tonnes per annum. The allocation of the tariff quota to individual importers occurs on an annual basis.
Q6.III. Are licences allotted for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are the names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate.)
Tariff quota allocations to individuals or companies are based on historical trade performance in the importation of cheese under quota. No tariff quota is allocated on the basis of domestic production of like product. Unused portions/amounts of the tariff quota allocation are not added to the tariff quota for the following year.
Q6.IV. From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Q6.V. What are the minimum and maximum lengths of time for processing applications?
Q6.VI. How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Q6.VII. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
The Department of Agriculture, Fisheries and Forestry (DAFF) is responsible for the policy framework of the Cheese and Curd Quota Scheme, with the Australian Border Force (ABF) administering the scheme on behalf of DAFF.
Q6.VIII. If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and, if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Tariff quotas are allocated to importers on the basis of historical trade performance involving quota usage. The allocations of the cheese and curd quota are made to importers in July each year based on the actual usage of quota to import cheese and curd in the 23 months ending 31 May of that same year. New importers are able to acquire tariff quota allocation on transfer from an existing holder of tariff quota.
Q6.IX. In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Q6.X. In cases where imports are allowed on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Q6.XI. Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
No.
Q7. Where there is no quantitative limit on importation of a product or on imports from a particular country:
Q7.a. How far in advance of importation must application for a licence be made? Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence (for example, owing to inadvertency)?
Q7.b. Can a licence be granted immediately on request?
Q7.c. Are there any limitations as to the period of the year during which application for licence and/or importation may be made? If so, explain.
Q7.d. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Q8. Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria? Are the reasons for any refusal given to the applicant? Have applicants a right of appeal in the event of refusal to issue a licence and, if so, to what bodies and under what procedures?
No circumstances exist for refusal to make an allocation beyond failure to meet the standard criteria.
Allocations are made only in accordance with a Determination made in pursuance of Section 273B of the Customs Act, and published documentation such as relevant Australian Customs Notices issued by the ABF. Allocations of quota to new parties are enacted by transfer by use of an approved form.
The fixed annual amount of quota available for distribution is allocated to existing quota holders according to each quota holders' previous import history of use of quota in the 23 months ending 31 May prior to the next financial year allocation. The scheme does not provide for direct applications for quota and does not have a licensing system as such.
The ABF has no record of refusals to make an allocation.
All decisions of an administrative nature are appealable on a case-by-case basis under the Administrative Decisions (Judicial Review) Act.
Eligibility of Importers to Apply for Licence
Q9. Are all persons, firms and institutions eligible to apply for licences: (If not, is there a system of registration of persons or firms permitted to engage in importation? What persons or firms are eligible? Is there a registration fee? Is there a published list of authorized importers?) a) under restrictive licensing systems? b) under non-restrictive systems?
Only those firms that have a history of trade performance in importing cheese under quota are allocated a share in the tariff quota. The allocation of the tariff quota is made on the basis of historical trade performance.
Firms are free to transfer their tariff quota allocation.
Documentational and Other Requirements for Application for Licence
Q10. What information is required in applications? Submit a sample form. What documents is the importer required to supply with the application?
Applications are not required. Eligible importers are advised of their entitlement based on the ABF records of import entries lodged during the preceding base period. Applications are not required.
Q11. What documents are required upon actual importation?
No quota specific document is required on importation. Product is entered into Australia under quota by use of unique Tariff Quota Numbers and security codes on Customs import clearance documentation (electronic or manual) .
Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?
There is no licensing fee or administrative charge.
Q13. Is there any deposit or advance payment requirement associated with the issue of licences? If so, state the amount or rate, whether it is refundable, the period of retention and the purpose of the requirement.
There is no deposit or advance payment requirement associated with the issue of licences.
Conditions of Licensing
Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?
Twelve-month period with no extensions.
Q15. Is there any penalty for the non-utilization of a licence or a portion of a licence?
There are no official penalties for individuals or companies that do not utilise their allocation. However, since allocations are based on historical trading performance, future allocations may be reduced for individuals or companies that do not utilise their allocation.
Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Tariff quota allocations can be transferred between individuals and companies without limitation. However, transfer transactions do not count as trade performance for the purpose of quota allocation.
Q17. Are any other conditions attached to the issue of a licence? a) for products subject to quantitative restriction? b) for products not subject to quantitative restriction?
No.
Other Procedural Requirements
Q18. Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
No.