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Overview
Healthy global construction conditions present real export opportunities for Australian companies in both building products and building services.
Building products
Australia’s building product exports have been relatively stable for the last five years. In 2005, Australian companies exported building products to the value of A$2.9 billion, which equated to 2.2 per cent of total Australian merchandise exports. To put this into perspective, building exports were greater than exports of wool or frozen meat, and approximately equal to exports of wheat and motor cars.
Except for the US, Australia’s largest building merchandise export destinations are in Asia and the Pacific. They include New Zealand, China, South Korea, Japan, Thailand, Singapore, Indonesia, Hong Kong and Malaysia.
Building materials companies supply a wide variety of goods, from basic raw materials like steel and timber, to high value-added products. Besides large Australian building materials companies, there are a myriad of smaller companies that supply a huge range of innovative products that facilitate faster, cheaper construction of a higher quality and with better safety standards.
Building services
The Australian Bureau of Statistics states that Australia exported building services to the value of A$720 million in 2005, although this figure may be understated due to the difficulty of tracking services transactions. Technical services such as project management, engineering and architecture are said to contribute 80 per cent to Australian services exports, which totalled A$625 million. Construction services at A$95 million make up the balance.
Australian architectural firms punch above their weight in world architecture. Amongst the world’s 60 largest architects, there are seven Australian companies, a significant achievement for a country with a population of only 20 million. Per capita, Australia has produced more global architectural players than the US, Canada, Germany, Japan, India and China.
Australian consulting and construction engineers provide feasibility and environmental studies and project design and management. A smaller, but nevertheless significant volume of services exports comes from Australian construction contractors. They have specialised skills and a reputation for quality, efficiency and ability to deliver on time.
What are the key opportunities?
The scope of opportunities for Australian products is vast and varies across the globe as each country has differing building needs. The scope of Australian products and services means that Australian companies can take advantage of many international opportunities.
Companies thinking of exporting need to be highly competitive in the domestic market and able to articulate what differentiates their product from others. Australia’s exports tend to be inventive and solutions-based, reflecting Australia’s high domestic building standards, level of education and innovative responses to challenging climatic conditions.
Major global opportunities include but are not limited to:
- Pre-construction services such as spatial information, architecture, design and engineering
- Sustainable building design
- Construction services and project management
- Construction materials such as timber and steel products
- Building products and tools
- Architectural products
- Safety products
- HVAC and lighting systems
- Building security and maintenance systems
- Energy and water efficiency products
Where are the key opportunities?
Opportunities exist around the world and depend on the nature of each building service or product. Austrade helps companies achieve export success in the following geographic areas:
- New Zealand and the Pacific
- South East Asia
- Middle East
- North East Asia
- USA
- Europe
Building-related companies new to exporting may be best served by learning export skills in English-speaking markets located close to Australia, such as New Zealand and the Pacific. More experienced exporters may be more capable of making sales in countries where language, culture and customs are very different.
Please see the list of industry country profiles for the building and construction industry at the end of this overview.
How can we help you?
With a network of over 140 overseas locations in more than 60 countries backed by highly experienced and qualified staff, Austrade provides a number of dedicated and tailored services to Australian exporters.
Austrade offers practical advice, market intelligence and ongoing support (including financial) to Australian businesses looking to develop international markets. Austrade also provides advice and guidance on overseas investment and joint venture opportunities, and helps put Australian businesses in contact with potential overseas investors.
Austrade has a building and construction network of 70 staff who work closely with companies in the building and construction industry. We are able to help companies in the building industry answer the following questions:
- Which countries are the best targets for my product?
- What is the most effective way of distributing my product overseas?
- How can I find a good agent, distributor or end user?
- How do I quote for my product or service?
- What is involved in shipping my products?
- What methods can I use to ensure I get paid?
- Is there any financial assistance for my export development?
Many Australian building products need to be certified for the export market, even if they meet Australian standards. Austrade can help you understand the different product approval requirements and associated costs.
Services companies may need to identify and work with a local partner in order to win business or deliver on contracts. Austrade can help you find a capable business partner. In addition, we arrange domestic seminars and events for building companies as well as trade missions and exhibitions in international markets.
For further information please contact Austrade on 13 28 78 or email info@austrade.gov.au.
Useful contacts
Government contacts
Federal Government:
Department of Innovation, Industry, Science and Research – www.industry.gov.au IP Australia – www.ipaustralia.gov.au
State Government:
ACT – www.business.act.gov.au NSW – www.business.nsw.gov.au VIC – www.diird.vic.gov.au NT – www.tradesupport.nt.gov.au QLD – www.dpi.qld.gov.au TAS – www.development.tas.gov.au SA – www.southaustralia.biz
General industry contacts
Green Building Council of Australia – www.gbcaus.org Master Builders Association of Australia – www.masterbuilders.com.au
Last updated: 19 Dec 2007
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