The Rudd Government today announced a boost to the Geelong economy with Chemring Australia Pty Ltd awarded $1.8 million from the Geelong Investment and Innovation Fund.
The grant will create 40 full-time jobs and inject $18 million into the local economy.
It will help stimulate the Geelong economy during the severe global financial crisis.
The new Chemring facility will include a leading edge research and development lab, further cementing Geelong's reputation as a centre of industry and innovation.
It will also help secure Australia's place on the world stage, sending the message that despite the global financial crisis, Australia and Geelong are open for business.
Chemring Australia, a subsidiary of UK-based Chemring Group PLC, manufactures countermeasures and pyrotechnics for the defence sector.
They have recently been awarded a 10 year, $160 million contract to supply countermeasures and pyrotechnics to the Australian Defence Force.
The grant awarded today will allow Chemring Australia to invest in state-of-the-art infrastructure, double its highly skilled workforce and boost its innovative capacity.
The increase in manufacturing capacity enabled the Lara site to win the work ahead of other international Chemring Group locations.
It will assist Chemring Australia to establish itself as the principal supplier of countermeasures and pyrotechnics to the Australian Defence Force.
It will also be critical to Chemring's pursuit of investment and opportunities in the Joint Strike Fighter program, which would lead to many more jobs in Geelong.
The Fund is a partnership between the Commonwealth, the Victorian Government and Ford Australia and this collaborative approach is critical to its success.
The Fund is about ensuring the Geelong region continues to be a hub of innovative manufacturing in Australia, creating high-skill, high-wage jobs.
The first round of funding is already creating 193 sustainable, full-time jobs, and injecting $27.2 million into the local economy.
Applications for the second round of the $24 million Geelong Investment and Innovation Fund are being assessed. An announcement is expected in early 2009.