PM Transcripts

Transcripts from the Prime Ministers of Australia

Fraser, Malcolm

Period of Service: 11/11/1975 - 11/03/1983
Release Date:
06/03/1979
Release Type:
Media Release
Transcript ID:
4979
Document:
00004979.pdf 4 Page(s)
Released by:
  • Fraser, John Malcolm
REPORT OF THE STUDY GROUP ON STRUCTURAL ADJUSTMENT

J1~ LL~ 6
T~~ V2 NiNA=~ 6 I LARC1I 1979
OF THE STUDY GROUP ONSTRUCTURAL ADJUSTMET
The ;--cudy Group, cnaired by Sir John Crawford, was set up to
ex--amine and ad the Government on the adjustment problems
of Australian manufacturing industries. Other members of the
Study roup were Sir Brian Inglis ( Chairman of the Government's
Akustralian Manufacturing Council, and Managing Director of
Ford Australia) Mr. R. J. L. ( President, Australian
Council of Trade Unions) and Mr. N. S. Currie ( Secretary,
Departcment of Tr,_ L, 3-r-and Cormerce)
I would like to place on record -the Govrernment's thanks to
the mnembers of the Study Group, and particularly, to the
Che rme. n.
Thel Studv Groupis report represents a further contribution made
by Sir J2ohn iLn the,-course of a long and distinguished career.
* In JL-s preface, tb-e Study Group expresses its concorn that
" ei: pectations about its report have been raised too high in
As ? eoort rmal. es clear, the challenges fEacing Austral. ian
ma-. 7r in 4i n21stry are great and there are no easy solutions.
The er are necssarily to be found in a wide complex of
poli: masurs. he Report, as rertuested in the terms of
a7ed iessed it-s ef t-o these me asures.
In vie-, of: the Report, low..-er population growth rates.,
zz; . zo qiic a c hangqe, irizcort ccmpetition, changing patterns
nd waecst-oressur's arc-all. part of
L" r: e i e r zc u Ir in g t hese ie s ures.
4-onr o te s tat In the earl 1970s, wa gosepcal
thoS focr women, increased sharply, partly a s the result of
hne I n-r0, 1u c tiJo n of ecjual pa], In 1973-74 alone, irinimun Faw-ard
wacc-s incro-2ased by for fer-alesv and 27% 0 for males."
In ad-. di-tion the ' Report Underlines th'e -fact -that " Government
ac~ nhs ttmscon tribu red to the adijustment pressures on
i n d u St The 25% acosTebadtariff cut in 1973, a-mTreciations
of the-exchange rate in 1972 ar., d 193, an a scaling clown of
the exlcr-incentive scrt: re in 11974 are imcportant exampics of
such -aotns. * 1 i 1!
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" However, more irecent Government actions ' nave been directed
towards r-eCducing inflation and reducing exteornal pressures on
the n-ardas-Press(-a imrort-compa tinq indiustries through
limitIng irprts by quotas and teirporary increases in tariffs."
" 7Iu:~ n3of t1h. L , australia'., Dollar since 1974 have also
as3: e th motcme~ gid. tries as welas the export
s CThe ezort mposes a series of positive measures to respond
to tha= *: ha'Lenqaes, and opportunities face d by Australian manuf actu ring
in acu-: e s The Governmitent believes that the analysis and
recnmedaions contained -in the ' Re-oort wl be an important
contribution to its consid eration of long-term policies to
ass:* 7t industry -to adjust to a changing environment and to
sound nc-1strial growth in the future.
The Re-o ort also iorovides a focus for all interested parties
in the-ir evaluation of future prospects for Australian
industry. The Report endorses and cons iderably elaborates
the need identified in the V. 1hite Paper on manufacturing
industry for Australian industry to become more competitive
both able better to compete with imports and to enter export
m a ts
The manuffacturing sector must be exoort-oriented if it is to
use fully our resources and skills. The Australian market is
see:-, v the _ Report_ as being too limited -for any other policy.
The s: tudy Gro~ up is " in favour of the Governiment following
policies that setth right climate for investment and growth",
an,_ it has proposed an extended range of-: incentives as the
prinipalmeans of encouraging industry to become more
comzetitive and export-oriented.
It_, is way, the~ eort believes growth rates in the sector
can raised an---employment better sustained and expanded.
of -the areas covered by the Report are matters to which
the: overnrrent is giving continued attention: export development;
ins: Kalresaronand development; investment incentives;
pr: L:. rvemntand ind-ustrial f-inancing.
rnment has already introducedl taxation concessions to
ti: i75e at-; mae. significant imc'rovernents to export
: ncrc:-asc1 or~ r~ ir. Juilt-rial
deve,: lopm,, ent and instituted other prociramrmes
icc to ' m> arove productivity in ind: ust-ry. In addition,
oar~ ccuzr ewhasis has bee--n given to increasing our efforts
to secu: re oetter access to overseas artsfor : 7Australian
gooe. a matter heavily emphasised in thze Report.
7 77_ 777:::=

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The Crau; focd Study Group believes that further improveaments
could be ma'de in tnhe ranr.-e of Programmes and has put forward
a l--e body of recommendat ions. It seas the -need -for a
" oost'.' e" Strazz-q to deaal with = ICIUsr.~ etpcln wa
i t r m s an Iitndu s ir ial1 ad-a. 3ta t io n Polic v;
-emet -1 h stratezay outlineea a nd: cvooDd i h
r adua a: _-ust7. ent dfownw.-ar-s i'n th-e hiuhier
f ustralian i-rotect ion lovels; an overseas trade
dein s ecr makets for Aas tralian manufacturing
, axpor: . anp-ower policles t1o help the -work-force to adjust to
mos : ighy ppo ' uiesca; nd special o~ olicies for the
n. -iglyprota _ cted industries, aimed at. easing the process
oz utmn for them. Each of the Study Group's reco, mendations
wil1 : De given , very careful consideration. Jany of them have
Lar-i --, icni~ impi
In anumber of cases, the Study Group's analysis of particular
issues will, as -i recognises, be complemented by related
studi-* es cortanissioned by the Government, such as: the Committee
of lncui ry into Education and Training; the Inquiry into the
process of Technological Change in Australian Industry; and
the inquiry into the Australian ' Financial system.
The Report will be a very valuable input to the Government's
decision-making process. It is very iruch concerned with what
the authors believe to be necessary and practical programmes.
It 1lassist the overnment to ensure t-hat future zool icy
Jecirsions will cont-ribut-e to the maxi-xum possible exten to
achieving the Covernment's overall economiic and industry policy
ob _ Je C Z Ive s t noving the competitive position of Australian
indu'*--tr' and, to a_-ssisting the transfer of: resources to those
col-'-t itive, ex-or . t-orientI-ed industries, w.. hich in the years
ahead, must nrovide the bascis for a successfEul industry policy
and en manulac-_ uring to play a much stronger role in the
economy as a wah o.
Sign--: : cant progress has been made in bringing down inflation
anc-im. proving coetitive position of local indlustries.
An,-7'? eport re-nises that " man ufa cturing is in a better
t:: nio than it has been for some time1' 2". There is
n~ ow a; zenc th itralian industries are increasi-. gly being
e: xploit t opprtunities overseas, and' that our
omct'~-~ position has generatred significant
r ne in-vestimant in local -idustry.
~ se nt th-at these gains be sustained and new opportunities
actealysough if the economic growth which would facilte
strcua adjustme. nt is to be reali sed.
In via-, of the importance and breadth of the matters raised in
the Stuldy Group's report, it is being tab led now so that it
can be widely and intensively discussed and the community's
response regist-eredI by the Governm,, ent. A~ special Comittee
of IMinisters has been set up to co-orr~ nate the Gov. ernment's
assessment-or the re commeanda tions. ThsCmitewl echaired
by the Miitrfor Industry and Co= merce.

O~ h~ r ebe -11ii b~ iistr fho r Primary Industry,
Educa-tion, incj-: t riai Rela-tions, the Treasurer, Employment
and Youtlh Pfa~, Irod uctivity, 73usino. ss and Consumer Affairs,
and S-.-ecial ri Rocorecsentat-ons.
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