Media Release

Shorter Lead Times Through Export Control Changes

Changes to Australia's export control list should reduce significantly lead times to issue export permits for a variety of telecommunications products and encryption software.

An amendment to the Defence and Strategic Goods List (DSGL) approved by the Minister for Defence incorporates changes agreed multi-laterally over the past 12 months by members of four non-proliferation and export control regimes.

"These include the Missile Technology Control Regime, Nuclear Suppliers Group, Wassenaar Arrangement and the Australia Group," the Director General of Exports and International Programs, Mr Maurice Hermann, said today.

He said although the amendment includes more than 200 major changes, most Australian exporters should not be unduly affected. There were, however, two particular pieces of 'good news' for exporters of communications products and encryption software.

"One significant change is that controls over the export of some telecommunications products have been eliminated and assessments for others should require less consultation, thus reducing lead times to issue export permits."

Mr Hermann said the other significant departure from the previous control arrangements should streamline the approval process for encryption products.

"Whereas all encryption products have been controlled up until now, this 'negative list' has been recast into a 'positive list'," he said, "and threshold limits have been introduced for the first time to reflect current technology and current industry practice."

Mr Hermann said encryption products with key lengths of 56 bits or less will be decontrolled after a 'one-time-review' to confirm that that they meet certain criteria.

"In the past there have been NO exemptions for mass market products," he said. "Now, for the first time, Australia will exempt from control mass market software which employs a 'symmetric algorithm' of 64 bits or less."

Mr Hermann described the revised DSGL as a significant liberalisation of current controls over telecommunications and encryption products and technology.

"These new controls will benefit in particular the Australian exporters of encryption products by creating a level playing field with the world's other major producers of hi-tech security products," he said. "One other outcome of these changes is to make the controls more E-commerce friendly."

Further information:
Maurice Hermann (02) 6266 4187

Issued by the Defence Public Affairs Organisation, Department of Defence, Canberra, ACT, 2600

back