Tradex Scheme Grant Program

Purpose and Program Overview

The Tradex Scheme is an Australian Government concession program that provides upfront exemptions from Customs duty and goods and services tax (GST) on eligible imported goods that are subsequently exported. It is designed to improve business cash flow by removing the need to pay duty and GST at import and then seeking a drawback or refund once the goods are exported.

By reducing the tax burden on imported inputs and re-exported goods, the scheme supports the competitiveness of Australian exporters across a wide range of industries. There is no fixed total funding pool; instead, the value of assistance depends on the level of eligible imports and the applicable duty and GST that would otherwise be payable.

The Tradex Scheme is administered by the Department of Industry, Science and Resources and operates on an ongoing basis as a standing concession mechanism rather than as a time‑limited grant round. This allows businesses to integrate the scheme into their long‑term import–export and supply chain strategies.

Key Grant Details

• Grant amount or funding range: Upfront exemption from Customs duty and GST on eligible imported goods, with the benefit size determined by the value and duty/GST rates of those goods.​
• Application open and close dates: Ongoing; businesses can apply for a Tradex order at any time, with no closing date.
• Eligible industries or business types: Importers who will export identified goods within 12 months (or approved extended period), including manufacturers and traders involved in re-export.
• Required co-contributions: No cash co‑contribution is required; the benefit is a tax and duty concession rather than a direct grant payment.​
• Location/state/territory applicability: Available Australia‑wide for businesses importing goods into Australia and exporting them from Australia.​

Priority Sectors

The Tradex Scheme does not specify priority industry sectors in its core guidelines. It is open to a broad range of sectors, provided the applicant imports eligible goods and exports them within the required timeframe.​

Funding Scope

The Tradex Scheme does not operate through defined “streams” or minimum/maximum grant amounts; instead, it provides a concession equal to the Customs duty and GST that would otherwise be payable on eligible imports. There is no published cap per entity, and the total benefit depends on the volume and value of nominated goods covered by a Tradex order.

Goods may be:​

• Exported in the same condition as imported
• Processed, treated, mixed with other goods and then exported
• Incorporated into other goods that are exported

The key timing requirement is that goods must be exported within 12 months of import, unless an extension is approved by the department. Tradex orders themselves do not expire and can continue to be used for future shipments, with variations lodged to add new eligible goods where required.​

Eligibility Criteria

• Applicant must be an importer who will export nominated goods within 12 months of import (or within an approved extended period).​
• Goods must be imported into Australia and then exported in the same condition, after processing/treatment, or after incorporation into other goods.​
• Goods must not be intended for sale in duty-free shops.
• Goods must not be of a type that would be subject to excise duty if produced in Australia (for example, certain alcohol, fuel or tobacco products).
• Nominated goods must not be intended to be sold, consumed, or used in Australia.​
• The applicant must have adequate record‑keeping and accounting systems that can track nominated goods from import through to export and demonstrate compliance with the Tradex Scheme Act 1999 and Tradex Scheme Regulations 2018.
• The applicant must obtain a Tradex order before importing the nominated goods; benefits cannot be applied retrospectively to goods already imported.
• Failure to comply with eligibility or record‑keeping requirements may result in an application being refused or an existing Tradex order being revoked.

Eligible Activities and Expenses

The Tradex Scheme supports activities that involve importing goods that will be exported, either directly or as part of other products. Typical eligible uses include:​

• Importation of finished goods intended solely for export without local sale or use.​
• Importation of components, parts, or raw materials that are processed, treated, or incorporated into other goods that are later exported.
• Importation of goods that are mixed with other goods, then exported as part of a different product or package.​
• Importation of goods that are used, lost, or wasted in the manufacture of other goods that are ultimately exported, provided record‑keeping requirements are met.

Operating costs such as capital equipment, staff hiring or training, or marketing are not funded directly; the benefit is limited to duty and GST exemptions on the imported goods themselves.​

Assessment Process

The Tradex Scheme operates on an entitlement basis rather than a competitive merit‑based grant round. If an applicant meets the legislative and administrative requirements and submits a complete application, a Tradex order can be granted.​

Assessment focuses on whether:​

• The nominated goods are eligible under the scheme
• The applicant can demonstrate adequate record‑keeping and compliance systems
• The applicant understands and can meet the requirement to export goods within the specified timeframe

There are no published scoring criteria relating to project innovation, strategic alignment or broader economic impact, as the scheme functions as a compliance‑driven tax concession.​

Recent Program Updates

The Tradex Scheme Policy and Administrative Guidelines were updated with effect from 10 July 2024. Key clarifications include:

• A clearer explanation of the definition of “export” under the Tradex Scheme and its interaction with the interpretation used by the Australian Border Force under the Customs Act 1901.
• More detailed guidance on acceptable and unacceptable record‑keeping evidence required to comply with the Tradex Scheme Act 1999 and associated regulations.

Additional program‑specific guidance, such as the 2025–26 guidelines on the importation of oak wine barrels, has also been released to assist industry participants with scheme‑specific compliance issues.

Application Tips

• Review the Tradex information guide and legislation carefully to confirm that your goods and export plans align with the scheme’s requirements, including timing and record‑keeping obligations.
• Ensure that your accounting and inventory systems can track nominated goods from import to export, including where goods are processed, mixed, or incorporated into other products.​
• Obtain a Tradex order before importing any nominated goods and maintain internal processes to ensure the order number is correctly quoted on Customs import declarations.​
• Keep detailed documentation on export activities, manufacturing processes and stock movements to substantiate compliance in the event of an audit or review.​
• Where your operations involve both domestic and export markets, implement clear segregation of stock so that goods benefiting from Tradex are not sold, consumed or used in Australia.​

Consider consulting a grant and trade concession specialist for a personalised eligibility assessment and assistance in designing compliant systems and documentation. Engaging expert support can help maximise the available concessions while managing legislative and audit risks.

Where to Get Help

Consider consulting a grant specialist like Pattens Group for a personalised eligibility assessment and expert assistance in preparing a strong, compliant and competitive application. Contact us today, and we will connect you with Australia’s best grant specialist, boasting over 35 years of experience in the industry and a 100% success rate. For official guidelines, application details, templates, and further information, visit the official website of Tradex Scheme and other associated Australian government websites.