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Welcome to the Industry Update for August 2011 for Bicycle Industries Australia Ltd. (BIA) & Cycling Promotion Fund (CPF)
 Bicycle Industries Australia Ltd. News
Consumer Protection Laws
Product Safety Australia: Do I need to issue a written repair notice to consumers before I accept the goods for repairs?
Answer: Yes. As of 1 July 2011, if your business either repairs or accepts for repair consumer goods that:
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are capable of storing user-generated data (such as computers, mobile phones, and portable media players), or
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are to be replaced by refurbished goods or will contain refurbished components once repaired,
You must by law issue a written Repair Notice to consumers before the goods are accepted for repair. The purpose of this law is to prevent the unforeseen loss of personal data, such as music, telephone numbers, and computer files, and/or to warn consumers that their goods may be replaced with refurbished goods of the same type. These obligations apply even if goods were purchased prior to 1 July 2011 and whether or not the goods were initially purchased online or as second-hand goods.
Retailers and other suppliers should be mindful of this requirement if they are recalling goods and repairing them. Visit www.consumerlaw.gov.au for details of the required wording of the notice, the penalties that apply for failure to issue a notice, and other information relating to your obligations.
The ACCC website provides answers to various FAQs relating to Repair Notices. If you have further questions relating to Repair Notices or any other aspect of consumer law, please call the ACCC’s Small Business Helpline on 1300 302 021 from 9 am - 5 pm, Monday - Friday.
Consumer Refunds and ReturnsThe ACCC is undertaking a compliance/education promotion campaign with respect to consumer guarantees, refunds and returns.
This ACCC has produced a flier which can be displayed at counters to ensure consumers and retailers are aware of their rights and responsibilities. Please ACCC Infocentre: 1300 302 502 for additional information.
Industry Data
Quantium Group
The BIA commissioned the Quantium Group to provide data on the growth of online sales from three areas, Australian ‘bricks and mortar’ stores, Australian online stores and foreign online stores.
This data identified a significant rate of growth from foreign online stores as well as an increase in the growth of sales from Australian based online stores in the period of 1 January 2010 to 30 June 2011. This data will be presented to the Assistant Treasurer as we continue to demonstrate the impact of the Low Value Import Threshold.
ABS Import Statistics
Import figures for the first 6 months of 2011 have shown a reduction in the number of bicycles imported in comparison to the same period in 2010. The figures also illustrate an alarming trend with a significant reduction in the importation of children’s bicycles.
Number of Employees in the Industry
In a recent survey of independent bicycle retailers and bicycle wholesale businesses, it was identified that the number of staff employed directly in the sale of bicycles or bicycle products either full time or part time is currently at approximately 10,000.
This data does not include major ‘big box’ chains such as K-Mart and Big W and does not factor in any further employment created in industries such as transport and logistics.
All data collected will be provided to BIA and CPF members as part of their membership.
Current Trends in Consumer Spending
Saving In the period since 2008, consumers have changed their purchasing habits, some of the factors which have affected this include; 
- The Nation Building and Jobs Plan, announced in early February 2009, contained provisions for a further $12.7bn in cash payments made between March and May.
- These stimulus measures positively impacted on retail sales from December 2008 through to July 2009.
However the impact of the cash hand-outs followed by a succession of interest rate rises in 2009 and 2010 have generated a huge hangover for the retail sector extending throughout 2010 and into 2011
- Consumers have now switched from spending mode to savings mode
The graph right demonstrates the level of consumer saving as a percentage of their income.
Between 2001 and 2005, Australian’s were spending greater amounts of money then they were earning. This trend has clearly been modified as Australians look to consolidate their position severely affecting retail spending.
BIA Board CommuniquePlease refer to here (PDF, 93kb) for the latest minutes from the July 2011 BIA board meeting.
Low Value Import Threshold In documents obtained last month under a Freedom of Information (FOI) request by the Fair Imports Alliance (FIA) it was revealed the Government requested information on reducing the low value importation threshold for overseas purchases from $1000 to $500 in October 2010.
The documents identified a possible starting date of 1 July 2011 at a cost of $38 million over 4 years. These documents go against the claim from the federal government that lowering the threshold was administratively impossible. The government announced the Productivity Commission Inquiry in November 2010. We now await the release of the draft report from the inquiry later this month. The documents released under Freedom of Information can be seen here:
http://www.customs.gov.au/webdata/resources/files/Document3.pdf
Cycling Promotion Fund News
 Government Relations Report
Parliamentary Summit: ‘Emerging Crises Summit’ - 6 July 2011
The Summit was successfully held on 6 July, attracting a very large number of MPs and Senators interested in the issues facing our cities. All TV stations filmed the opening and media conference, Stephen Hodge was MC at the event.
Main points:
- Around 15 follow up meetings were held during the day with MPs to present the evidence from the Summit. More will be organised in the weeks ahead.
- The polling launched at the Summit contributed to the media interest on the day.
- The Main Committee Room was full and guests, including some MPs/Senators who had to sit in the gallery one floor up, total on the day was around 140 persons.
Infrastructure Australia (IA) & the Major Cities Unit (MCU)The CPF, along with partners such as the Heart Foundation, has been instrumental in raising cycling on the priority list of the Department of Infrastructure and Transport – Major Cities Unit and Infrastructure Australia.
Our Cities, Our Future: a national urban policy for a productive sustainable and liveable future , articulates the role of the Australian Government in facilitating better outcomes in our cities – whether through direct investment, or in partnership with key stakeholders. It includes commitments to incorporate active travel into the Department of Infrastructure and Transport portfolio; to monitor and report on progress toward achieving the national cycling participation target by 2016; to further consider effective active transport action strategies; and to encourage the development of urban areas that promote healthy lifestyles through cycling and walking.
A national workshop has now been confirmed to look at modelling for benefits of cycling and walking. Stephen Hodge will participate along with around 40 experts from federal, state and local government, academics, consultants and NGO’s who will be attending.
CPF Parliamentary Dinner - 21 September 2011 CPF will be hosting a bi-partisan dinner at Parliament House in Canberra on 21 September for MP’s and Senators with a concern in the areas of transport and sustainable cities. International guest speakers for the event will be;
Phil Darnton, Chairman of Cycling England 2005-2010, following a career spent working for Unilever and Reckitt and Colman and Chair and CEO of Raleigh UK.
Pan Haixiao, Professor of Urban Planning at Tongji University in Shanghai, China. He is one of China's leading researchers in urban land use and transport planning.
Tim Blumenthal, President, Bikes Belong Coalition and Bikes Belong Foundation, executive board member of the Safe Routes to School National Partnership and executive board member of the America Bikes Coalition.
Mr Mark Cridland, Deputy Director General, Queensland Dept of Transport and Main Roads. Queensland is leading the way nationally in the investment in cycling to make it a real choice for short trips across the state and have been recognised with several national awards for their achievements.
Australian Bicycle Shows  The inaugural Sydney Bike and Lifestyle Show was held on the weekend of the 22-24th of July. Being the first event with some of the wettest weather in Sydney for some time, it was great to see a steady flow of public through the door over the three days.
There were many highlights of event which included;
- Over 5000 through the door.
- The number of families through the door.
- Over 350 watching the Tour De France to 1.30am in the morning on the big screen.
The next major event on the calendar is the Ausbike Expo in Melbourne. 
I look forward to the opportunity to discuss issues affecting the industry with many of you at the show.
Australian Bicycle Dates
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CPF News 
