The Future of Manufacturing
Manufacturing in Western Australian employs more than 91,000 people and earns the state $21.9 billion dollars from exports.
The Chamber of Commerce and Industry’s Future of Manufacturing paper firmly dispels the misconception that manufacturing is no longer a viable industry in WA and makes recommendations to grow the sector and encourage economic growth.
CCI believes the manufacturing sector needs:
- Reinstatement of the Federal Government’s R&D tax incentive for companies, regardless of size;
- Reform to depreciation rules on assets; and
- A reduction in the company tax rate to 25 per cent.
The Future of Manufacturing paper also highlights the important opportunities manufacturing presents to build upon established primary industries, diversify the economy and grow WA into a world leading place to live and do business.
Western Australia’s manufacturing industry in numbers:
- 91,000 jobs – manufacturing is the State’s seventh largest direct employer;
- $21.9 billion in export earnings, 17 per cent of total earnings;
- Adds 4.9 per cent of gross value to our economy;
- 8900 manufacturing businesses;
- 85 per cent of manufacturing businesses have an annual turnover of less than $2million.
CCI Chief Executive Deidre Willmott said the sector has been one of the quiet achievers of the State’s economy and it has a bright future.
“We must remove barriers to innovation and growth to ensure the local manufacturing sector can capture the significant international opportunities on our doorstep,” Ms Willmott said.
“Government must shift its policy agenda away from providing direct assistance to business and industries, and instead focus on getting the broader policy settings right, to allow the sector to prosper independently.”
“This report celebrates success stories from local manufacturers who have developed high-value, niche products off the back of our thriving resources and agriculture industries.”