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Tasmanian Business Reporter February 2019

Welcome to the February edition of the Tasmanian Business Reporter. In the first edition for the year we take a look at some of the driving forces behind Tasmania’s current economic confidence, with a host of major tourism, manufacturing and construction projects signalling another bright year ahead. You will also find renewed calls from business leaders to reduce the number of Tasmanian councils, details of the game-changing vision for Castray Esplanade and the CSIRO site, as well as all the latest in business news from around the state.

Welcome to the February edition of the Tasmanian Business Reporter.

In the first edition for the year we take a look at some of the driving forces behind Tasmania’s current economic confidence, with a host of major tourism, manufacturing and construction projects signalling another bright year ahead.

You will also find renewed calls from business leaders to reduce the number of Tasmanian councils, details of the game-changing vision for Castray Esplanade and the CSIRO site, as well as all the latest in business news from around the state.

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T A S M A N I A’ S L E A D I N G B U S I N E S S P U B L I C A T I O N . C I R C U L A T I O N 12,000 M O N T H LY<br />

<strong>Tasmanian</strong> <strong>Business</strong> <strong>Reporter</strong> - FEBRUARY <strong>2019</strong> 3<br />

Tourism flying high<br />

TOURISM in Tasmania is<br />

booming and the associated<br />

financial spin off is pushing<br />

the state’s business economy<br />

into record breaking territory.<br />

Tills are ringing right across<br />

the state, with small businesses<br />

on the verge of turning over<br />

a billion dollars in a single<br />

year for the first time.<br />

Tourism Industry Council<br />

of Tasmania figures<br />

show that since September<br />

2015, spending in Tasmania’s<br />

2000 or so tourism<br />

businesses has increased 23<br />

per cent to nearly a billion<br />

dollars in the 12 months to<br />

September 2018.<br />

Tourism Industry Council<br />

of Tasmania Chairman<br />

Daniel Leesong said accommodation<br />

and transport<br />

services accounted for the<br />

majority of tourism spending<br />

in Tasmania (about $1.5<br />

billion of the nearly $2.5<br />

billion expenditure.<br />

But, hundreds of unique<br />

producers, providores, tour<br />

guides and venues, among<br />

others, are also seeing the<br />

benefits of a buoyant sector.<br />

“It’s exciting to see that<br />

the more retail-orientated<br />

tourism businesses are in<br />

the midst of a billion dollar<br />

boom of their own,” he said.<br />

“This shows the tourism<br />

industry is absolutely fun-<br />

Support grows for bold waterfront vision<br />

A LOOMING Federal<br />

Election could ensure<br />

Hobart gets its chance for<br />

a “once in a generation<br />

Sydney Opera House”<br />

moment.<br />

Momentum is building<br />

as industry leaders promote<br />

the re-imagining of Castray<br />

Esplande and the CSIRO<br />

site.<br />

The tourism industry last<br />

year released its bold vision<br />

to relocate the CSIRO to<br />

Macquarie Point - with<br />

pressure now ramping up<br />

Above and Beyond’s seaplane flies over the Derwent River and Wrest Point.<br />

damental to the economic<br />

fabric of Tasmania.<br />

“It’s bigger than the value<br />

of salmon and forestry industry<br />

exports combined.”<br />

New ventures are literally<br />

flying high.<br />

Above and Beyond’s seaplane<br />

hit the skies above<br />

Hobart early in summer,<br />

offering passengers scenic<br />

flights over Hobart and to<br />

hot spots like Three Capes,<br />

Stewart’s Bay, Bruny Is,<br />

Pumphouse Point at Lake<br />

St Clair and Saffire at Freycinet.<br />

Gerald and Henry Ellis<br />

started Above and Beyond<br />

to bring something unique<br />

to the Derwent and the skies<br />

of Tasmania.<br />

More destinations are already<br />

being added and there<br />

for political support ahead<br />

of the Federal Election, due<br />

within months.<br />

The development of<br />

the area includes visions<br />

of a maritime museum,<br />

water-edge swimming pool<br />

and improved spectator<br />

infrastructure for the Sydney<br />

to Hobart Yacht Race.<br />

“We have an opportunity<br />

to capture the energy and<br />

vibrancy of the Taste of<br />

Tasmania and the summer<br />

festival period year-round<br />

by activating the wateredge<br />

of Castray Esplanade,”<br />

TICT CEO Luke Martin<br />

said.<br />

“There is no better place<br />

in Australia than the Hobart<br />

waterfront over this one<br />

week of the year, and it<br />

makes zero sense why<br />

these areas are left largely<br />

dormant for the remaining<br />

51 weeks of the year.”<br />

Hobart alderman Simon<br />

Behrakis is backing the<br />

Castray Point push, tabling<br />

a motion for the Hobart City<br />

Council to back the plan.<br />

are plans to add more aircraft<br />

to the fleet.<br />

“We have just been given<br />

approval to operate into<br />

Bathurst Harbour, Port Davey<br />

and Lake Pedder, we are<br />

waiting on similar approval<br />

to come through for Lake St<br />

Clair, Maria Island and Freycinet<br />

Peninsula,” Henry said.<br />

“We are hoping this will<br />

come through within the next<br />

three to four weeks,” he said.<br />

TICT CEO Luke Martin<br />

said there were many opportunities<br />

for new businesses in<br />

the state.<br />

“It’s important that we continue<br />

to look for innovative<br />

ways to develop and diversify<br />

our industry and share what<br />

is really special about Tasmania,”<br />

Mr Martin said.<br />

Destination Southern Tasmania<br />

CEO Alex Heroys said the<br />

new service was just the latest<br />

in a wave of new developments<br />

coming on line that were aimed<br />

at high-value, high-yielding<br />

customers.<br />

“There are other new examples<br />

on the market that are<br />

aimed at this type of customer<br />

– the Tas Walking Company’s<br />

Three Capes Lodge Walk and<br />

the incredible Evolve Spirit<br />

Bar at MACq01 hotel, to name<br />

two,” he said.<br />

“In the year ending September<br />

2018, we welcomed 1.3 million<br />

visitors who stayed more<br />

nights and spent a record $2.4<br />

billion in our communities, up<br />

4 per cent from previous year.”<br />

The industry is set to be even<br />

further enhanced, with the eyes<br />

of the nation’s tourism leaders<br />

to be focused on the state<br />

when Launceston’s Cataract<br />

Gorge hosts 800 at the Qantas<br />

Australian Tourism Awards on<br />

March 1.<br />

An artist’s impression of the Castray Point precinct.<br />

NEWS<br />

Bell<br />

Bay<br />

mill<br />

planned<br />

A $50 million hardwood rotary<br />

peel and engineered timber<br />

mill is being planned for Bell<br />

Bay.<br />

Patriarch Resources Pty<br />

Ltd, a subsidiary company of<br />

Patriarch and Sons Pty Ltd, is<br />

seeking to establish the forestry<br />

business on the site of the<br />

former Southern Aluminium<br />

Wheel Plant site in the industrial<br />

zone.<br />

Director Allen Wong said<br />

work was under way to obtain<br />

the appropriate development<br />

and environmental statutory<br />

approvals before a three-stage<br />

building process.<br />

“The construction of stage<br />

one and two is worth more<br />

than $28 million, covering site<br />

purchase, adaption of the factory<br />

and plant and equipment,”<br />

Mr Wong said.<br />

“More than $4 million in<br />

local building and electrical<br />

work will be required and will<br />

be directed to local firms as<br />

much as possible.<br />

“It is estimated that the project<br />

will create 30 to 40 jobs<br />

during construction, while the<br />

operation of the facility will<br />

create up to 80 positions.<br />

“A third stage – proposed<br />

engineered timber – will involve<br />

an additional investment<br />

of more than $22 million and<br />

will create further training and<br />

employment opportunities.”<br />

Mr Wong said Patriarch<br />

planned to purchase wood<br />

from existing public and private<br />

sources, comprising certified<br />

wood from plantations and<br />

native forests that was currently<br />

wood chipped.<br />

“The proposed veneer mill<br />

will provide opportunities for<br />

wood currently planned to be<br />

harvested to benefit from an<br />

additional value-adding process,”<br />

he said.<br />

“We will engage with a<br />

range of local experts, including<br />

the University of Tasmania<br />

to extend research into value-adding<br />

of plantation timber.”<br />

WANTED<br />

<strong>Business</strong><br />

movers and<br />

shakers<br />

• Promotions<br />

• Appointments<br />

• Awards<br />

• Celebrating<br />

success<br />

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to TBReditorial@<br />

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