The prime minister unveiled the Future Made in Australia Act on Thursday, advancing manufacturing and safeguarding the nation’s control over resources and critical minerals.
The plan has been likened to the Inflation Reduction Act in the US.
Mr Albanese said there would be new money in the May budget for the initiative.
“You will see new programs, new funding and new opportunities working with business,” he told ABC’s 7.30 on Thursday.
“One of the things we have been doing is collaborating very closely with our scientists, with our researchers, with the opportunities which are there, but also with Australian-based businesses.”
However, parts of the plan have raised concerns for the chair of the Productivity Commission, Danielle Wood, who Labor appointed.
“We risk creating a class of businesses that is reliant on government subsidies and that can be very effective in coming back for more,” she told the Australian Financial Review.
Opposition Leader Peter Dutton said Ms Wood’s viewpoint was a concern.
“The fact is that over the last two years, manufacturing businesses have gone into bankruptcy – it’s gone up by 300 per cent,” he told Nine’s Today program on Friday.
“We know the energy system is broken – the government’s renewables-only policy is driving up the price of your electricity bill at home … it is for business as well and that’s what’s fuelling inflation.”
But Government Services Minister Bill Shorten said Australia needs more homegrown manufacturing.
“We need to be more sovereign in this country and sometimes that will involve government assistance,” he said.
https://citynews.com.au/2024/new-programs-to-be-bankrolled-by-manufacturing-push/one of the key distinctive hallmarks of a strong economy is diversity of business interests. note how many European countries manage to maintain moderate growth due to their strong manufacturing base.
Menzies was very strong on building manufacturing, Howard told manufacturers to go off-shore and we've had poor productivity growth ever since.
I've always maintained that a strong manufacturing base is essential for strong employment. this is not going to help so much with jobs today due to the advent of Ai complementing robotics in manufacturing, but it will strengthen the economy to enable stronger revenue base/growth for Govt and so allowing further tax reductions for workers.
so ism this just a gimmick? or a feasible policy to boost economic growth in Aus and improving the general sustainability of our economy?
