Jason Falinski (Mackellar, Liberal Party) Share this | Hansard source

Small businesses have long been the foundation upon which Australia's prosperity has been built. In my electorate of Mackellar alone, there are 24,000 small businesses. Historically, government defence contracts have always been off limits to these small businesses, unreachable to all but the biggest defence contractors. Huge contracts were put to tender internationally, with the world's biggest players vying for a piece of the pie. I'm proud to say that this government has taken action to open the defence industry to our Australian small businesses. Recent changes spearheaded by the Minister for Defence Industry have made it significantly easier for Australian businesses of any size to access defence contracts. Our defence industry is much more than tanks and ships. We require a vast array of services, from software systems and professional services to maintenance support and from nuts and bolts to the paint used on our warships or the communication cables on our submarines. All of these can now be made in Australia by Australians.

Along with the government's overhaul of the tendering process, we are delivering on our commitment to revitalise the Defence Force with a $200 billion investment—the largest since the Second World War. With $49 billion dedicated to developing Australia's enabling capabilities, this investment brings with it a plethora of opportunities for Australian businesses. This government has realised that we need to play the long game. Yes we want to make sure that our defence forces have the best, most cutting edge equipment to supply our forces, but we also realise that servicing that equipment and making it better and better requires us to develop the know-how here. Once a frigate is built, its individual components require maintenance and the engineers who worked on the original project will keep repairing, maintaining and improving the fleet for years to come. Investing in a local defence manufacturing industry means investing in jobs for generations to come. It's an investment in skills and innovation. Like a colony of mushrooms, once a business secures a defence contract, no matter how big or small, supporting businesses and industries grow around it.

I would like to take this opportunity to encourage all businesses in Mackellar to get involved, to see what opportunities are open to them in defence and to tender for contracts, so they too can manufacture goods or provide services integral to Australia's defence and security. The Centre for Defence Industry Capability and the Defence Innovation Hub exist to facilitate small- and medium-sized Australian businesses entering the defence contracting supply chain by providing guidance and know-how. They liaise with businesses directly to help them maximise their competitiveness for defence contracts. Once in the defence supply chain, these businesses can use their skills to make the most of defence-related export opportunities, capitalising on Australia's close relationships with its defence allies and trade partners.

Countless Australian businesses have already started making the most of these opportunities. Over the next decade, the development of the F-35 Joint Strike Fighter project, in which Australia has played a leading role, will result in over $1 billion in contracts for Marand Precision Engineering in Victoria. Closer to home, on the Northern Beaches, hydraulic engineering firm HI Fraser recently manufactured the millionth coupling needed for the Collins class submarine program. Recently this government, led by the Minister for Defence Industry, won an international tender to become one of only four worldwide F-35 Joint Strike Fighter service hubs. That means that Australian companies will be carrying out all high-level repairs in the Asia-Pacific region, firmly establishing us as a world player when it comes to defence servicing. This contract for the maintenance of military aircraft alone is forecast to create up to $100 million worth of business, and that's just initially. Programs such as this one also create hundreds of highly skilled, advanced manufacturing jobs, using Australian know-how from teams such as the one led by Richard Kirkby and Chris Williams at HI Fraser.

I hope all Australian businesses will seize this opportunity to get involved and to become part of the Australian defence industry. I would also like to thank the Minister for Defence Industry, the member for Sturt, for his consistent efforts to increase opportunities for Australian businesses in the defence industry. Ultimately, this is how we will secure prosperity for our great nation. (Time expired)

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