Defence Business Issue 45 Nov18-Jan19

6 SPECIAL PROFILE
November 2018 - January 2019 Defence Business
Minister for Defence Industry, the Hon Steven Ciobo MP, with a Hawkei, Light Protected Vehicle at the Land Forces exposition.
Minister Ciobo Targets Defence Exports
for Accelerated Growth
New Minister for Defence Industry Steven Ciobo firmly believes that Australia’s defence
sector SMEs are ready to take on the world. The former Trade Tourism and Investment
Minister set up the Defence Export Facility and brings a strong export focus to this
portfolio.
“You can’t spend two hundred billion dollars, with a rock solid commitment to
boosting Australia’s sovereign capability, without that having a marked impact in the
market place,” he says.
Minister Ciobo wants to continue to build momentum by maximising emerging export
opportunities. To boost capability within Australia, the defence industry policy must be
geared towards growing our capability.
A long-term and systematic approach is needed to ensure the right drivers are in
place, in particular, to advance the SME side of defence industry. There is an important
distinction here in terms of the approach, and this is in the context of boosting
capability rather than propping up businesses.
CHALLENGES AND GROWTH
With the vast array of challenges and opportunities that exist in the defence industry
sector, SMEs are genuinely enthused and energised by the transformation happening in
this space.
The ambition within the defence industry, however, is coupled with what the Minister
describes as "the very real and very material challenge" of how we ensure that we
have the labour force capability to meet that level of ambition.
Much thought and consultation is going in to the work that needs to be done.
This thought and consultation extends beyond Osborne, SA. It encompasses frigates,
submarines and OPVs, and includes the important work around munitions, digital
technology, and cyber security.
Minister Ciobo is committed to the continued investment in skilling Australian workers
to meet the needs of the sector in the years to come.
"You can’t spend two hundred
billion dollars, with a rock
solid commitment to boosting
Australia’s sovereign capability,
without that having a marked
impact in the market place."
MAXIMISING POTENTIAL
The Minister warns of the danger of speaking in generalities when different businesses
are at different levels. With some outstanding Australian businesses globally
competitive now, and others that will be in the future, what needs to be done is to
"maximise the potential of all of those businesses".
In the defence export space, some of that is about reaching economies of scale for
Australian industry. It is also about making sure we are able to capitalise on intellectual
property that is developed here in Australia. Through the defence industry capability
plan, there is a focus on boosting sovereign capability.
EDUCATION
“Education appropriate to a growing defence industry is not something you set the
guidelines for and then walk away from." At a round table with the Defence Industry