Senate debates

Monday, 20 August 2012

Questions without Notice

Manufacturing

2:41 pm

Photo of Anne UrquhartAnne Urquhart (Tasmania, Australian Labor Party) Share this | | Hansard source

My question is to the Minister representing the Minister for Industry and Innovation, Senator Lundy. Can the minister inform the Senate what the report of the Prime Minister's Manufacturing Taskforce, released last Thursday, recommends to government?

Photo of Kate LundyKate Lundy (ACT, Australian Labor Party, Minister Assisting for Industry and Innovation) Share this | | Hansard source

The non-government members of the Prime Minister's Manufacturing Taskforce, representing business, unions and the research sector, have produced a comprehensive report entitled Smarter manufacturing for a smarter Australia. The report makes a strong case for the vital role that manufacturing plays in our economy, both now and in the long term. I quote from the report:

The non-government Taskforce leaders believe that Australia’s future will be brighter with a broad-based national economy, built on more than a few industries in more than a few regions. A broad based national economy is one that is stronger, more resilient, more innovative and ultimately more able to provide for the needs of Australia and Australians.

It is how we can break the cycle after the ‘lost decade’ in which apparent prosperity has boomed, while underlying productivity growth has stalled and competitiveness gone backwards.

The report acknowledges that the manufacturing sector currently faces challenges such as the high Australian dollar and more intensive global and regional competition. However, the task force makes it clear that manufacturing can prosper and grow by taking advantage of the significant emerging opportunities, especially in the Asia region. The task force report builds on the government's current policy settings, with a strong set of proposals to ensure that manufacturing is a dynamic contributor to Australia's prosperity and an important part of a diverse economy that creates skilled jobs.

2:43 pm

Photo of Anne UrquhartAnne Urquhart (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Can the minister outline the government's reaction to the report of the Prime Minister's Manufacturing Taskforce?

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | | Hansard source

I thank Senator Urquhart for her question. The Gillard government is committed to ensuring that Australia retains a strong manufacturing industry and welcomes this report. We will now carefully consider the findings of the task force and respond in detail with a major industry and innovation statement in the coming months. This will be our vision for the future of manufacturing and will set out our plans for supporting manufacturing to remain and improve its international competitiveness. The government is supported in principle of most of the report's recommendations. Specifically, the government accepts the recommendation of the task force to establish a manufacturing leaders group. We see an important role for this group in assisting the government to implement its response to the recommendations of the task force.

2:44 pm

Photo of Anne UrquhartAnne Urquhart (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Can the minister advice the Senate what the government is doing to address the issues raised by the task force?

Photo of Kate LundyKate Lundy (ACT, Australian Labor Party, Minister Assisting for Industry and Innovation) Share this | | Hansard source

It would be my pleasure. In addition to the leaders group, the government will immediately bring together the Industry Capability Network, the Buy Australian at Home and Abroad supply advocates, AusIndustry, and Enterprise Connect to share information on opportunities for Australian manufacturers in large domestic investment projects with a particular focus on the resources sector. The task force report builds on the government's current policy setting. The government has been implementing a range of reforms consistent with the direction of the report, including lifting Australian industry participation in major resources projects, encouraging innovation in manufacturing by introducing a new R&D incentive—

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! Senator Lundy, you are entitled to be heard in silence.

Photo of Kate LundyKate Lundy (ACT, Australian Labor Party, Minister Assisting for Industry and Innovation) Share this | | Hansard source

Those opposite do not like hearing what the government is doing because there is so much. Reducing the energy cost of manufacturers and stimulating innovation through the $1.2 billion Clean Technology Program, encouraging investment in clean technology through the $10 billion Clean Energy Finance Corporation, co-investing in the all-important automotive industry— (Time expired)