Wednesday, December 22, 2004
Industry propped up by Govt assistance
A comprehensive study of Australia's assistance to industry has found that companies get more than $11 billion dollars in handouts and other benefits from the Federal Government.
Australia has made much of its commitment to free trade, but a new Productivity Commission report, Trade and Assistance Review 2003-04, casts the country's credentials in a different light.
It estimates that tariff protection is still worth $7.5 billion, mainly in the manufacturing industry.
Another $4.3 billion is paid in direct assistance - delivered as grants, subsidies, loans or tax breaks.
The vehicle and textile, clothing and footwear industries get most of the benefits, but the sugar and dairy sectors are also heavily supported.
The Productivity Commission says the amount paid to industry remained steady last financial year, but is expected to rise by about $300 million this year.
© 2004 Australian Broadcasting Corporation
Copyright information: http://abc.net.au/common/copyrigh.htm
Privacy information: http://abc.net.au/privacy.htm
A comprehensive study of Australia's assistance to industry has found that companies get more than $11 billion dollars in handouts and other benefits from the Federal Government.
Australia has made much of its commitment to free trade, but a new Productivity Commission report, Trade and Assistance Review 2003-04, casts the country's credentials in a different light.
It estimates that tariff protection is still worth $7.5 billion, mainly in the manufacturing industry.
Another $4.3 billion is paid in direct assistance - delivered as grants, subsidies, loans or tax breaks.
The vehicle and textile, clothing and footwear industries get most of the benefits, but the sugar and dairy sectors are also heavily supported.
The Productivity Commission says the amount paid to industry remained steady last financial year, but is expected to rise by about $300 million this year.
© 2004 Australian Broadcasting Corporation
Copyright information: http://abc.net.au/common/copyrigh.htm
Privacy information: http://abc.net.au/privacy.htm
