John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, the Hon. Kim Carr. In light of the recent closure of a number of regional industries, including the Coca-Cola owned SPC factory at Mooroopna and the Heinz factory at Girgarre, can the minister advise what steps the government is taking to support those regional communities now attempting to establish cooperatives in an effort to continue operating and save their livelihoods?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I thank Senator Madigan for his question and I indicate to him that the government shares the concerns about manufacturing job losses, particularly in regional areas, where manufacturing is often an important source of employment and investment. Of course, any job losses are unfortunate. The fact remains, however, that the latest national account figures show that manufacturing investment is actually growing in this country. What we have to consider here in regard to the Heinz decision is that the decisions were announced in Pittsburgh, they were part of a global restructure and there was no consultation with the government on the matter whatsoever.

In regard to the SPC Ardmona arrangements, I understand that all employment entitlements are being provided, that there is additional support such as outplacing and counselling services and that retraining has been made available. Senator Evans has already indicated today the extent to which the government is providing additional support such as training facilities for workers who are displaced in those circumstances. I would also indicate, though, that AusIndustry and Enterprise Connect are working to provide financial and other assistance to numerous businesses within the Goulburn Valley to support food-growing and manufacturing sectors throughout the region, as we understand the importance of the region to the food-processing industry.

In regard to the specifics of support for cooperatives, Senator, these are the direct responsibilities of state and territory governments. The Commonwealth has no direct administrative responsibilities for them. What I can indicate to you, though, is that there are a range of measures that the government has available to assist manufacturers. (Time expired)

John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. With the current high Australian dollar and the probable introduction of the carbon dioxide tax, can the minister inform the house what support is available to guarantee the survival of industries in regional areas and the communities that rely on them?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

Senator Madigan, in regard to the passage of the legislation, which I trust you will be able to support, there will in fact be support provided through the Clean Technology Food and Foundries Investment Program, an assistance program of $200 million over six years which will provide support for investment and innovation. It will provide assistance which eligible companies will be able to rely upon. It will start with a grant arrangement of $100,000, which I trust will encourage many smaller food processors that currently are not able to attract support through any other program. This measure provides additional support for the food-processing industry. With this, along with the steps the government is taking in other fields, particularly in terms of research and development, we may actually see opportunities for additional employment in the food-processing sectors as a result of the legislation currently before the parliament.

John Madigan (Victoria, Democratic Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. As 2012 has been declared the International Year of Cooperatives by the United Nations, can the minister advise the house what innovations and programs the government will be implementing to assist the development of cooperatives in regional Australia to fill the void of the industries that may be forced to close under the incoming carbon dioxide tax?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I can only repeat that the administrative arrangements regarding cooperatives are the direct responsibility of state and territory governments. Notwithstanding that, the government stands ready to work with enterprises to ensure that we provide all the assistance that is available and to ensure that the necessary arrangements are made, particularly through Enterprise Connect, to provide the support needed for industries to be able to transform themselves in this process of rapid change. There is quite substantial support available—up to $20 billion—as a result of the legislation that is currently before the parliament. There is $20 billion of industry support for those industries that are in the business of transforming themselves and preparing themselves for the 21st century. That is why these measures are so important to ensure high-skill, high-wage jobs for Australians into the future.