7 May 2015
ALP considering manufacturing finance fund
The ALP will consider reviving Australia’s ailing manufacturing sector through a specialist financing corporation and giving tax breaks to local production of patents for Australian inventions.
The policy moves are aimed at advanced manufacturing where Australia has often made research breakthroughs such as Wi-Fi and the aviation black box, only to see the technology taken offshore for production elsewhere.
It aims to fill a gap through creating a publicly-funded Manufacturing Finance Corporation – which would operate in a similar way to the Clean Energy Finance Corporation – and to fill a financing gap caused by Australian banks being reluctant to back new manufacturing.
Labor is also looking to capitalise on public disquiet over the loss of about 40,000 jobs when local car production ceases by the end of 2017.
The measures are being debated within the ALP as it prepares its draft platform ahead of its national conference in Melbourne in July.