Santa has come early to the manufacturing industry this year.
Already he’s delivered a bag full of goodies that should set the scene for a prosperous New Year.
· An Australian Government that recognises the importance of science, innovation and technology to our future prosperity and economic security
· A renewed focus on innovation with the appointment of a new Industry Minister and Assistant Minister for Innovation
· A Prime Minister who understands the importance of technology and innovation to the Australian economy
· The establishment of Cooperative Research Centres to foster greater collaboration between industry and researchers
· A $225 million Industry Growth Centres program
· An R&D Tax Incentive program that provides tax relief of almost $3 billion to more than 13,000 innovative Australian companies.
· Major reforms to anti-dumping laws to further protect manufacturers from cheap imports
· The appointment of a new Chief Scientist (Dr Alan Finkel) engineer, entrepreneur and philanthropist, and advocate for nuclear power.
· Free trade agreements with our three biggest trading partners in Asia
Add to that a steadily falling Australian dollar and strong rise in business confidence and manufacturers have every reason to be confident about the year ahead.
I’m sure a reduction in company tax would be on every manufacturer’s wish list in the next federal budget.
And to add a bit more custard to the Christmas pudding, Mr Turnbull and his Cabinet should also consider the benefits of the Australian Innovation and Manufacturing (AIM) Incentive. This tax incentive has been designed to reward manufacturers who produce and commercialise products in Australia, which are a result of local intellectual property. It is worthy of strong consideration.
With the investment phase of the resources boom winding down and commodity prices softening, our economy is in transition we need to create a new legacy, says Industry Minister Christopher Pyne.
Australian industry has the potential to lead the world in research and innovation and seize the opportunities that lie ahead.
We look forward to exciting times ahead.
On behalf of the team at Industry Update I wish all of our readers a safe and happy holiday season.