EMBARGOED AGAINST DELIVERY CHiECK AGAINST DELIVERY
AT 4.00 P. M. AUST R A 1 1A
SPEECH BY THE PRIME MINISTER
OPENING OF THE CSIRO CLAYTON LABORATORY
MELBOURNE 18 MAY 1984
I am most grateful for the consideration shown by Dr Wild
and members of the CSIRO Executive in deferring the opening
of these laboratories to afford me the opportunity of
participation today.
I know all connected with the Divisions of Chemical and Wood
Technology, and Mathematics and Statistics, will find these
new facilities a considerable improvement over those
available at the former premises in South Melbourne.
When facilities for other CSIRO Divisions are completed on
this site, the entire complex will have the capacity to
become a world class centre for technological research. By
its very location, providing as it does for close
interaction with the adjacent university and with industry,
it has a natural advantage.
The work being carried out by the new division of Chemical
and Wood Technology is of particular significance. It is a
clear demonstration of commercially relevant research. Such
research is vital to Australia's future prosperity.
Much of the Chemical and Wood Technology Division's work is
carried out in conjunction with Australian industry. Indeed
the Division already has a number of industrial developments
to its credit. Importantly these achievements include
exan~ ples of how high technology research can provide for the
need for both advanced product and improved process.
Notable recent activities include:
Development with Repco of a process for converting
small diameter logs into structural wood product
called " scr imber" l
Successful scale-up of the " Sirofloc" water
clarification process with a commercial plant now
in operation at Bell Ba'y, Tasmania.
Investigation into ways of substituting wood fibre
for asbestos in re-inforced cement products.
The new laboratories will enable the Division to pursue even
more actively its industrially rel-ated research. A feature
of the building itself is the large process bays provided
for the scaling-up of research from the laboratory stage to
pilot plant operation. This will allow demonstration of
many of the new ideas generated by research staff for
industry. The ultimate test of success for most CSIRO research is its
likely benefit to the Australian industry and-community.
Research and Development R and D should not be ends in
themselves. They must become economically productive either
directly or indirectly. They should be linked to a-range of
other considerations, including quality control and
marketing. In this regard I am pleased to see that one of
the manufacturing industry research topics to which C7SIRO is
giving highest priority is that of using advanced
technologies for process and quality control. This
correctly recognises the fundamental importance of achieving
high quality if Australia is to improve its industrial
competitiveness. There can be no doubt that successful industrial application
has not been generally characteristic of Australia's broad
research effort. While we compare favourably with other
countries in terms of basic research we are in the top
eight in OECD we are well behind in turning these research
results into new industrial opportunities.
We are failing to turn R and D into dollars. We are giving
too much emphacis to the 11R" and too often neglecting the
11D1 dimension of it all.
Greater effort should therefore be made to capitalise on ou:
indigenous research.
It is important that commercialisation of CSIRO development! s
be carried out wherever possible by Australian firms, since
this not only maximises CSIRO's assistance to Australian
industry, but also maximises the return to the community on
its investment in CSIRO.
This '* does not mean, however, that all Australian research
should be reserved for exploitation by Australian industry.
That would go against the principle of the free exchange of
ideas. As a nation which has had the capac-ity to produce
four Nobel Prizewinners the same number as Japan with
eight times our population we must shoulder our
responsibility. But if Australian research is taken up
overseas, as it will be in some cases, there should be
provision for some of the benefits of commercial
exploitation to be returned to Australia by way of joint
ventures or royalties.
I would also suggest ( and here I am repeating a theme I have
taken up elsewhere) that it is vital that support for
research be directed deliberately to the best research
workers. This should apply as much within CSIRO as
elsewhere. If Australia is to maintain its lead, or indeed survive, in
a wide range of national endeavours, whether they be pure
science or new technology for industry, then we shall-have
to identify the best and most forward-looking-research
workers, and ensure that their excellence and enterprise are
properly supported.
Quality and opportunity should be our key criteria for
support. To the extent they are, results will flow back to
the nation as a whole, in advancement of scientific
knowledge, and a vigorous economy based on technologically
aware and up-to-date industries.
Obvious as this might seem, the plain Fact of the matter is
that we as a nation have a long way to go to achieve a
vigorous economy based on technologically aware and
up-to-date industries industries working arm in arm with
our research establishment. What we nE. ed is a situation
where our research community and industry meet together,*
talk together, plan together and work together. This shouli
be a priority objective for all concerned.
In this regard the results of several recent surveys are
disturbing. They reveal that many Australian executives are
confused about the application of new technology. A high
percentage of those interviewed in one survey saw foreign
competitors as more technologically advanced and making
better use of technology. Notwithstanding this, more than
two thirds still professed themselves satisfied with the way
research and development was being carried out within their
own organisat ions.
No-one in Australia can take comfort from these findings
whatever inconsistencies there may be between the attitudes
expressed. One factor at work clearly is a complacency born of the
inwa'rd-looking nature of some areas of our economy.
Government willingness in the past to shelter areas of
industry, and thus lessening the edge of competition, may
have made industry, and top executives in particular,
indifferent to new technologies.
Certainly this complacency cannot continue if we are to
compete with countries whose industries are making greater
efforts than ourselves to utilise new productivity raising
technologies.
4.
The'adoption of new technologies to revitalise existing
industry and promote the development of new industries is
crucial to the maintenance and improvement of the living
standards of the Australian people. The success with which
we do so will also have an important bearing on the extent
to which we ultimately get to grips with unacceptably high
levels of unemployment.
The Australian Labor Government, with its commitment to
consolidating the economic recovery which is now under way,
and its interest in establishing a sound basis for
Australia's long-term economic development, wants a close
nexus to be forged between science and technology and
industry development.
This emphasis on practical research and development does nol:
deny in any way the importance of basic research. What the
Government seeks is a balance between pure and applied
research. As a nation with fewer financial resources than
many of our international competitors, it is essential that
we make the best use of our scientific resources.
We can accept that, as a small country in terms of
population, we cannot match the research and development
capacity of overseas establishments in some particular areas
of specialisation. In such cases it may be advantageous to
monitor their output and purchase the relevant rights. With
suitable modification to Australian conditions, it may be
profitable to do so.
But there will be cases where, if we focus our attention and
exert our will and enterprise, we can lead the world. Vie
should not shrink from doing so. Interscan, in which Dr
Wild had such a direct hand, is a clear instance of the
possibilities which exist. The Siding Spring Telescope
which I had the privilege to open the cother day, would be
another example.
My more general concern, however, is that development of
Australia's capacity in the field of science and technology
be seen as an integral part of our efforts to build viable,
internationally competitive, Australian industries.
The discussion paper on a n ational technology strategy
recently released by my colleague, Barry Jones, and debated
in Parliament only last week, is an important contribution
to the process of developing an active and coherent approach
to technology issues and their relevance for the growth of
Australian industry.
As Sir Gustav Nossal said earlier this week of this draft
strategy: is important because it identifies both the
essential role of science and technology in long-term
economic health and the serious quantatitive and
attitudinal deficiencies in Australia that limit the
contribution which our science sector can make".
That paper set out five national priorities as matters for
debate: 1. Raising Australia's skill base;
2. Bridging the gap between research and industry;
3. Moving towards high value added goods and services;
4. Creating stronger and more appropriate economic
structures which will provide goods which can be placed
on a world market; and
Overcoming the problems of overspecialised regional
economies such as in coal, steel and heavy manufacturing
industries.
I think it very important that this statement of priorities
be submitted to the closest scrutiny. On the basis of a
constructively critical dialogue around the issues involved,
the development of a relevant, well-co-ordinated policy
approach in this important area should become possible.
In the meantime, the Government has already introduced a
number of positive measures to overcome the problems it sees
in the area. The Government has given particular priority
to the stimulation of the level of industrial research
development activity through the provision of financial
incentives and support for new technologies
In 1983/ 84, substantially increased funds were
provided for science and technology research under
the Australian Research Grants Scheme and for
Marine Science and Technology programs;
A national Biotechnology Scheme has been
established; Additional funds were provided for public interest
projects for industrial development and for the
establishment of innovation centres;
New research associations have been formed to
encourage co-operative industry research
development,
w 6.
Government purchasing policy has been strengthened
and offsets policies are being reviewed to see how
these areas of Government activity can best be
co-ordinated with our approach to science and
techology; and
We have introduced the National Research
Fellowships Scheme to provide individuals and
research teams with opportunities to undertake
research of national significance, with a view to
strengthening Australia's development capacity.
The Government has also supported the establishment of
Sirotech to take developments pioneered by the CSIRO to
commercial application. It is particularly pleasing to note
that universities and research institutions have also
adopted this approach by setting up commercial ventures to
market their own research findings.
The Government is, as well, offering substantial taxation
benefits to promote the development of a venture capital
C market in Australia. We aim to reduce the risk in taking up
new technologies and to help small business to exploit
available market oportunities. This should help businessmen
to take Australian, or overseas technological breakthrou-ghs,
and turn them into profitable business ventures.
All these measures, in one way or another, are designed to
close the gap between research and product development; to
accelerate the rate of technology transfer into new products
and processes.
But there still needs to be much greater dialogue between
industry and scientists and we need to look closely at
mechanisms to facilitate this.
Australian scientists themselves should examine their role
and be alert to opportunities to transfer technology from
laboratories, universities and research institutions to
businesses in Australia.
At the same time, decision makers in the business community,
whose attitudes to new technology are so critical, could
usef'ully reassess their individual R and D efforts, to
ensure that they are making an optimal contribution to the
long-term strength of their enterprises.
We have the research capabilities, the creativity and
managerial talent to meet the challenge.
The official opening of this new laboratory, with its
excellent facilities, will I hope, provide renewed impetus
to CSIRO's research and technology transfer activities and
mark the beginning of a new era in sciEntific research and
industry collaboration.