The Chamber of Commerce and Industry (CCI) recently launched its vision for the future of manufacturing in WA, at MAK Water’s manufacturing facility in Perth. The launch coincided with the release of the CCI’s “Future of Manufacturing” paper, highlighting the need for Government to reassess policy and support local manufacturing in capturing the significant international trade opportunities on our doorstep.
“There is a misconception that manufacturing is no longer a viable industry in Australia – today’s report shows this is absolutely not the case,” CCI Chief Executive Officer, Deidre Willmott said. “Our research shows that the opportunity now is to move beyond local markets to the global marketplace.”
The “Future of Manufacturing” paper recommends:
- 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.
“For WA manufacturers to seize the opportunities of the urbanisation and development of Asia and the broader Indian Ocean Rim region, the Government must shift its policy agenda away from providing direct assistance to businesses and industries. Instead, it should focus on getting the broader policy settings right to allow the sector to prosper in its own right,” Ms Willmott said. “This means encouraging growth in the sector through policies that incentivise research and development, help businesses to access markets overseas, and improve our competitiveness through tax reform and the removal of regulatory barriers. Perth is a trade gateway for Indian Ocean Rim countries so we are very well positioned globally to take advantage of opportunities in these markets – particularly India, one of the world’s fastest growing economies,” Ms Willmott added.
“Twenty-five per cent of our project sales in the last three years have been to overseas markets – WA companies must be internationally competitive to achieve sustainable business growth” said Andy Byk, CEO of MAK Water. “The Indian government has recently announced a USD$1.5 billion programme to clean the River Ganges, supply better quality drinking water and improve waste water treatment for its vast population. MAK Water is uniquely placed to assist industry in complying with the tighter restrictions that are now being mandated throughout the region. We have installed thousands of water and wastewater treatment systems throughout South East Asia, so India is a natural next step.” added Mr Byk.
The manufacturing paper is the second of eight papers that set out a long-term vision for Western Australia to become a world-leading place to live and do business.