Manufacturing Taskforce ignores underlying problems
CCIQ is disappointed by the results of the Prime Minister’s Manufacturing Taskforce following the release yesterday of the Smarter Manufacturing for a Smarter Australia Report.
The report fails to recognise that competitiveness is a function of Australia’s cost base including variables such as energy prices and labour costs, while also failing to acknowledge the impact that these issues have had on manufacturing firms.
Policies such as the carbon tax, high levels of government regulation, inefficient taxation and an inadequate industrial relations framework are all contributing to Australia’s high cost operating environment.
Businesses are working hard to overcome the challenges presented by an increasingly competitive global environment, yet the current domestic policy setting is working against a competitive business operating environment in Australia.
Australian businesses understand that in order to capture new opportunities and improve productivity in the changing global environment, they must adapt as best they can to increased global competition.
This means local business needs to work harder at identifying new markets and have a renewed focus on ingenuity, quality, consistency and capacity to produce.
CCIQ recognises the vital role the Federal Government has in assisting small and medium businesses achieve these goals and adapt to new business conditions domestically and globally.
However, the consistent message from the business community is that the current domestic policy settings are harming Australia’s competitive advantage, and making it difficult for SMEs to adapt.
CCIQ believes it is time for the Federal Government to recommit to a stronger competitive business operating environment in Australia.
This requires a thorough evaluation of current policies and the impact they are having on SMEs across the country.
CCIQ awaits the Federal Government’s response to the Taskforce’s recommendations.