Macfarlane Caught Out Manipulating Industry Figures
George Campbell - Parliamentary Secretary (Manufacturing Industry)
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Media Statement - 29 August 2002
Covering up the government's greatest policy weakness - Industry and Manufacturing - is becoming a habit for Industry Minister Ian MacFarlane. His selective use of figures to defend the government's manufacturing failures (AFR Opinion 29/8/2) is the latest example.
WHAT MACFARLANE SAYS ON R & D:
"Australia is consistently rated in the top 10 of 30 OECD members"
THE TRUTH:
The 2002 OECD Observer lists Australia's public expenditure on R&D, as a percentage of GDP, as 16th out of 26 nations surveyed. Business R&D expenditure of 0.72% of GDP (1/3 the level of Finland, US and South Korea) ranks us 11 of 16 nations surveyed.
WHAT MACFARLANE CLAIMS ABOUT FOREIGN INVESTMENT:
"38% of foreign owned manufacturers prefer to conduct their R & D in Australia, double the average for investment elsewhere in the OECD."
WHAT HE FORGETS TO MENTION:
Manufacturing R&D in Australia as a percentage of ‘manufacturing value added' is still less than half that of the OECD average and only just greater than a quarter of manufacturing R&D in Sweden.
WHAT MACFARLANE CLAIMS ON INNOVATION:
"Backing Australia's Ability is boosting innovation by an extra $3 billion"
THE TRUTH:
Backing Australia's Ability funding is massively back-ended. 2 years into a 5-year program, just under 20% of the 3 billion will have been spent. The R & D Start program ran out of money in January leaving hundreds of small companies for dead.
WHAT MACFARLANE SAYS ABOUT LABOR:
Labor's discussion paper Why Manufacturing Matters "sounds and looks like a return to the command economy".
THE TRUTH: Even Labor is surprised at the enthusiasm that has greeted Why Manufacturing Matters. With continued in depth collaboration with industry bodies and enterprises we will develop a sophisticated manufacturing policy that is supported by the community and geared to achieving jobs, exports and growth.
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