PACE OF MANUFACTURING REMAINS LABOURED

01-October-2010

Friday October 1st

Today’s findings in the Australian Industry Group - PricewaterhouseCoopers Performance of Manufacturers Index

indicate that Australian manufacturing remains under considerable pressure – which is not surprising because this Labor Government lacks any vision for the sector’s future.

The September report card revealed that manufacturing growth has continued to stall over the past month. This is another gloomy result following the recent release of similar findings in the

ACCI-Westpac Survey of Industrial Trends for the September quarter.

It also comes hard on the heels of substantial declines in manufacturing activity and jobs during the past three years under Labor.

After consistent expansion under the Howard Government, manufacturing activity contracted for 13 consecutive months almost as soon as Labor was elected in 2007. A staggering 73,000 manufacturing jobs have also been lost in Australia since that time.

"Australian manufacturers are wonderfully enterprising and resilient, but they don’t deserve to keep being shackled by the Gillard Government," said Shadow Industry Minister Sophie Mirabella while visiting manufacturing businesses in North West Tasmania today.

"The sector badly needs a government that takes economic management seriously, not one that consistently and recklessly borrows to mismanage grants programs.

"The Industry Minister, Mr Carr, has an intoxicating addiction to throwing money at his pet causes – but ‘picking winners’ is precisely the wrong strategy at a time when pressures such as rising interest rates and a high dollar are adversely affecting many Australian businesses.

"What manufacturers most need from government is the creation of an economic environment that is conducive for investment and provides long-term certainty, confidence and secure finance.

"They also need a government that reduces its spending to ease the pressure on interest rates."