1 July 2014
Executive Director Ben Eade talks to AMT Magazine
AMT: What do you see as the biggest challenges facing Australian manufacturing right now?
Ben Eade: First and foremost, we need to bust the myth that Australian manufacturing is a sunset industry.
Australian manufacturing still employs around 900,000 Australians and contributes around 8 per cent of GDP. We have a wealth of strong manufacturing industries and significant competitive advantages including abundant energy resources, outstanding R&D, proximity to Asian markets, and a highly skilled workforce.
Of course, there is no doubt the challenges facing Australian manufacturing are significant: the high Aussie dollar, high input costs, unbalanced competition with international importers and excessive or inconsistent regulation. None of these challenges are insurmountable, as several international examples illustrate. Germany remains a manufacturing powerhouse against the broader malaise in the European economy, and the recent resurgence of the manufacturing sector in the US is an example of what could be achieved in Australia with strong policy and industry action.
If we address those four key areas of workplace productivity, fair trade, deregulation and energy policy, large enterprise manufacturing will remain internationally competitive and underpin a balanced domestic economy.
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