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FACSIMILE
TCIF inquiry Productivity
TO C0 . m mission Active Spoirtsweat
Destination Fax Arp. 0262403311 BLUChall & Soffball
Attentionr U‑if^
Date: 7 March 2003 L Angerie & Su~fnwwr
Rei. /Order No.: UPFGamene
From: Warren Bray
Subject, TCIF Inquiry Sails: & Comn
NO. Of Pages InClUding th15 Page.‑ All yow  needs
Yours sincerely
Warre gray Managing Director
52^moba.St~ ltonkud*Valln &1*ami 4006 Phone. 07 3257 1472. Fax. C32,52 9309 0 D R lb& iwptyL
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TU Inquiry
Productivity Commission
Dear Commissioners
Major questions must be addressed.
Does the Government want ta eliminate the Industrial Manufacturing of Clothing and Textiles?
Does the Government desire to have only a 'Cottage' manufacturing Industry In Australia, supported with assistance packages, which are a direct cost to the taxpayer?
If so continue' without major policy changes. The results speak for themselves.
Current industry policies have been very successful. over the last 15 years in closing down our world class factories. The containerizing our best equipment and shipping it over seas. The result Is devastation of the industry skill base with most volume manufacturing, employment, training and, technology developments happening off shore.
Surely this should not be the vision for the future of a high value added industry~ such as TCF..
Our economy does not benefit from Importing high value added products that we, can produce ourselves.
The errors. of the past must be acknowledged and a courageous and substantial change of:direction undertaken.
We should not continue these destructive policies with. fiddling around the edges to give the Impression of actually doing something.
We had an innovative, industry operating at worlds best practlice. standards in modern work places with out Government assistance packages, just good industry policy from Government.
Does the Government want Industrial Manufacturing, and the, flow‑on benefits.of‑ investment,, Employment and Training with career path opportunities? The development and profitable use of high technology in the industry?
If so the Government must face up to a substantial but inexpensive change of its policies to achieve this such as; Implementing':systerns responsive to exchange rate fluctuations that control the rate of inflow of'irnported goods into the relatively small Australian market.
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The industry needs somewhat predictable demand to be able to
plan and to amortize investments. Some countries have,
requirements of off set on suppliers where to Import a quantity
requires an obligation to also manufacture. onshore a substantial
specified proportion of their requirement.
If such measures were implemented the industry would not need
any special Government or Taxpayer funded Industry Assistance
packages to rebuild to a world class standard and make a positive
contribution to our economy.
It Is obvious'that a Commission of Inquiry with different terms of
reference W.ould be needed.to achieves.uch a positive result but a
start should, be: made:.
Yours Faithfully
a~rren y
Managing Director
DR Manufacturing: Pty,.Ltd.
52 Amelia St..
Fortitud,e VaHey 4006
Brisbane
Ph :07 3257147,2
Fax 07 32529309
E‑mail drrnanUfacturin,gdbbiqi2ond.COM
1 am sending a copy of my comments 2019/02 on the TCIFL Forum
Strategic Plan June 2002 which. was mentioned during our
meeting in Brisbane.
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These are my comrnents on the" TUL FORUK STRATEGIC PLAN This. report has to a large extent the same problem as most of the previous reports on: the' ."Industry'. Which Industry or sector Is it supposed to address: Is not ciearly defiffied. The TCIFL industry is diverse and some sectors have, o posi~ng:~ needs. P
This report dloet hot represent the on shore le:gi,tiniate clothing q manufacturing, industry. In fact Its whole thrust will hasten its demise.
Suppi em, ent In its moort fal
y chain Manag i  cifitatfon function can not justify
Govern meOt .:asti~Unce:...It already has major assistance and advantage with remov‑al of:quota and. reduction of tariffs.
The piTcess of manufacturing goods in~ chea labour Countries and selling R them in high cost countries such at Australia at: huge mark ups does not need;gQvernMent assistance.
To suggest that,there Isany prospect of any. significant export of, Australian manufactured; products. fliesIn the face of reality.
However I do believe: the Government can assist w~ith~'oveeseas marketing and pComotion, of OrodUcts that are. unique.and have the prospect of being .able to: stand O.loh~: in: the long: term.
Once a brand becbmes~ established: with::s.ufficient:voluffie~ to f~cilitate accurate forecast(no.ft will ~be, sourted from a cheap labor country. As the report: points out Country. of Origin. iis of:'conco'rn only to a small segment
Inates the
of the market.. this."proe.ess elim~  prospect of significant exports.
HometrUth. TheTest of.the world does not want Australian Manufactured produ.cts in the main ~they,: want to: devtiop.~'their own industries. We must look after,our own,,,manuf‑~actUring industry.
To ~ h avie a ny H Ir gh JndustriaU manufacturing in Australia Wt must
'duit We eed construct v n A n
first have; an In ry 1 ib. :g: erm i dustry policy
n
from t t
h,e:governMen
The nt:.: us ~c trol the:~ te of flow~of imports Into the country.
governme m t, on
systems can be d  ‑while proportion&
eveloped to bialntain: a worth ea~h.
rohsUm: er ma~k e't,~s,e~M.'tnt for which ALIstrallan manufacturers can'
compete. This,,c t achieved by~: aV h ta  ed, to
artb h i~
rift levels, connect exchange ~ rates.,
Simpi if the: V61ur~e~ Import Is incrtasing the tariff te is to low Af
y  ra
Imports are decreasinq~ the tariffs are:too high. Tariff. rates cannot remain
static,. while exthan  Would be a significant
ge ~ates:a re. changing. This
source, of Inco, c. tbr the~ 9 t ~h' : 1
rn‑ overnmtn and s ou d allow a reduction of :taxation for on shore: manufacturers.
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Positive policy Would immediately bring stability and confidence to the manufacturing. Industry and set the framework for Planning, investment., training, development and employment. Prosperity will follow.. This must be put: plainly to government and repeated. The Manufacturing Industry does not need any further government involvement or assistance schemes. The importance of 'buying local' to.ens.ure that the, economic activity generated is of benefit tb ~the comrhunityls recognized by politicians only at election time. The Open Border regime is discredited In Most of ~the world. Australia is the~ last strong hold, still in the belief will be:able to sell. more primary products at below theicost of production to. countries that do. not Want them. We should:!geli~ to countries products that are wanted for their unique features. It Is'obvious that countries: that have trade barriers do not want the products. otherwise they would facilitate their import.. We should not try t6:usurp the authority of legitimate government's by prom6ting and.suoport'lrig:the use'~of unelected unaccountabl bodies'
e WTO, OECD.IMF to ~de.cide and enforce their trade policies.
Yours faithfully
W.G. Brav0'
1
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