Geelong Manufacturing Council hosts Federal officials for policy discussions

August 29, 2024

The Geelong Manufacturing Council (GMC) has welcomed representatives from the Federal Department of Industry, Science and Resources to Geelong for a series of tours and discussions aimed at providing industry input and advice on manufacturing policy.

The visit, which showcased the region’s diverse and innovative manufacturing sector, included tours of several GMC member businesses, offering federal officials a firsthand look at the challenges and opportunities facing local manufacturers. Discussions centred on energy costs and impacts on business, the ever-growing burden of regulatory compliance and investment challenges for both early stage and established manufacturers.

DISR’s head of manufacturing policy, Mr Pat Fester, accompanied by AusIndustry’s new regional representative, Mr Courtney Krause, met with GMC members and executives for a close look at a range of issues.

The first stop was IXL Group, a proud Geelong manufacturer for more than 160 years, where IXL Director, Rob Backwell, shared the company’s experience and response to recent electricity outages in the region. IXL had found it necessary to install a diesel generator as back-up power supply, given an extended loss of power would be disastrous for production. The workaround highlighted the fundamental need for reliable energy in manufacturing.

Other concerns included the increasing regulatory burden on manufacturers, despite the imperative for Australian manufacturers to compete globally.

Next, the delegation visited Farm Foods in Breakwater, a growing medium-sized manufacturer specialising in premium value-added meat products. CEO Greg Hughes said the company looked forward to accessing future export markets but the challenges were significant. He said the food manufacturing sector’s major contribution to the Australian economy was not always understood in government, and emphasised the need for further support and low-interest loans for efficiency investments.

Processed-d7fcecf1-cf4d-4d64-a5ef-73616007b626

Innovative North Geelong engineering company Austeng hosted a round table discussion on issues and opportunities, especially in the early-stage of commercialisation.

This session included a representative from Geelong Galvanizing, Peter Temple, who shared the company’s energy challenges, particularly gas usage and the need for cost-effective alternatives. This was followed by a demonstration of the Barton Engine by Capricorn Power, showcasing innovative local technology and the opportunity to solve community-scale renewable energy generation.

Tours concluded with a visit to Infrabuild’s Geelong Wire Mill. This again emphasised good standing of Australian made products on the world stage is hindered by increasing energy prices, highlighting the critical importance of reliable and affordable energy supply for manufacturers. Infrabuild representative, Phil Matthews, said there was a current lack of technically feasible solutions to transition from current energy sources.

GMC CEO Jennifer Conley said, “This visit was an excellent opportunity for our members to directly engage with federal policymakers. It allowed us to highlight the strengths of Geelong’s manufacturing sector and discuss the support needed to drive future growth and innovation.”

Key themes throughout the day included energy affordability and reliability, regulatory challenges, global competitiveness, and the importance of maintaining a strong local manufacturing base.

The Department representatives expressed appreciation for the insights gained and indicated that the feedback would be valuable in shaping future manufacturing policies at the national level.

“Geelong is a great case study if Australia is going to build manufacturing,” Mr Fester said.

This collaborative effort between the GMC and federal officials underscores the importance of ongoing dialogue between government and industry to ensure policies are well-informed and responsive to the needs of the manufacturing sector.