Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

National industrial policy Australia


Published on

Test Run Only- Please dont refer to data up to datez ( not recommend ) reference only!

Published in: Education, Business
  • Be the first to comment

National industrial policy Australia

  1. 1. AUSTRALIA<br /> NATIONAL INDUSTRIAL POLICY<br />Global Business<br />LayanKanishkaAsiriWijekoon<br />
  4. 4. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Tax Incentives<br />Monetary and Fiscal policies<br />Rigorus Educational Systems<br />NATIONAL INDUSTRIAL POLICY<br />Creation of strong Legal & Regulatory systems<br />Development <br /> & Maintenance<br />
  5. 5. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Fiscal and Monetary Policy<br />Australia's medium-term fiscal policy framework is to achieve fiscal balance, on average, over the course of the economic cycle. <br /> <br />Government tax revenues and expenditures are likely to rise or fall, when income rises or falls, and government spending and tax rates may be adjusted to deliberately influence the economic cycle. <br /> <br />Policy adjustments of this sort may be stabilizing and consistent with the government’s medium-term objectives.<br />
  6. 6. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />They remained at this level until they were dropped by 125 basis points over September and October in 2008.<br /> <br />In a further 4 moves by the Reserve Bank of Australia the cash rate dropped substantially to 3% by April 2009. <br /> <br />The feature of monetary policy in Australia during this time is that interest rates were not reduced below a nominal 3% rate, thereby not inducing negative real interest rates. <br /> <br />This is in contrast to many economies around the world where nominal rates dropped either to, or very close to 0%. <br /> <br />
  7. 7. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Fiscal and monetary policy actions have both had important roles to play in defending many economies from the ravages of the Global Financial Crisis<br />(GFC) of 2007-08. <br /> <br />In the case of Australia, a significantfiscal stimulus package of $A42billion approximately 4% of annual GDP) was launched in 2008 in an attempt to forestall a potential recession. <br /> <br />Australian announced cash rates were rising until March 2008 to peak at 7.25%.<br /> <br />
  8. 8. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Education & Training<br />Education and training are also critical policy areas affecting industry's interest<br />Since 1996, the education & Training policies in Australia have some change which related to the economy:<br />Governments increasingly centralized educational funding, and spread the cost over students' life times (pay now or pay later)<br />A national resources standard for school<br />Government schools and non-Government schools suppose to have the same standard<br />Modern facilities are supported to all categories of schools<br />Expanding Australian educational system worldwide<br />Integrate education and training into an industry policy framework and that this aspect to be granted a much higher priority by both governments and industry.<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />
  9. 9. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Minister may recover salary paid to teacher in certain circumstances so the teaching quality may go up.<br />Approved learning programs to improve vocation skill<br />Student allowances and scholarships to encourage them to study hard<br />Tuition fee is increasing helps Government earns more tax, and then spend well for the school facility  good for improving student skills<br />labour market-education and training; flexibility in remuneration and allocation of functions<br />The previous Labor government emphasised wage/productivity agreements and greater training and skills development. The present Government has led the way to a less centralised wage system and greater emphasis on individual employer-employee workplace agreements.<br />
  10. 10. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Tax Incentives<br />The company tax rate in Australia, currently at 36 per cent, is higher than that imposed by many of our trading partners. The current capital gains tax regime is seen as a barrier to the inflow of foreign venture capital funds.<br />Certain taxes such as payroll, stamp duty, customs duties for revenue purposes, and taxes on business inputs such as fuel and software are all seen as 'taxes on business', with a particularly adverse impact on exporters.<br />
  11. 11. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Tax Incentives<br />Business taxation is the subject of a separate review which is close to completion. <br />The main review are:<br />These major tax reforms will impose some significant transitional compliance costs on Australian industry but in the medium to long term, the reforms should yield substantial benefits in the form of a lower, more equitable and more transparent tax regime applying to local industry.<br />✓<br />✓<br />Reduction in the company tax rate but at the expense of some reduction in business tax concessions such as accelerated depreciation<br />Taxation of trusts as companies<br />Review of capital gains taxation<br />Reduction/abolition of certain State taxes on business.<br />✓<br />✓<br />
  12. 12. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Example <br />Reduction in the R&D tax concession from 150 to 125 per cent <br />Most of the general assistance and some industry specific programs were curtailed significantly as part of the major expenditure cuts announced in the Government's first Budget in August 1996. <br />
  13. 13. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />INFRASTRUCTURE<br />Expenditure on transport, communications, power and other infrastructure is frequently used by governments, in particular the State governments, to attract resources to certain industries and industries to certain locations. <br />A major recent decades has been the microeconomic reform agenda, has been actions to increase efficiency, and reduce costs to users, for what were predominantly public sector services including water supply, electricity and gas generation and distribution, roads, rail, ports and airports and telecommunication services.<br /> A second major aspect of microeconomic reform is aimed at labor market improvements.<br />Benefits are expected in terms of greater flexibility, award simplification, better matching of supply and demand for specific skills and stronger productivity growth in the longer term. encouraging a more effective and efficient employment of resources through increased market competition.<br />
  14. 14. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />a major projects facilitation (MPF-1997) service to assist companies through government approval processes for projects with a total capital expenditure of over $50 million, and<br />to advise the Commonwealth Government on the possible use of incentives for strategic investment projects.<br />Major projects Facilitation 1997<br /><ul><li>38 projects
  15. 15. $54 billion investment
  16. 16. 14 000 permanent jobs</li></ul>Example <br />Visy pulp mill <br />Comalco Aluminium Ltd <br />
  17. 17. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Trade & Regulatory systems<br />Australia has one of the most transparent and efficient regulatory environments in the world. Through proactive reforms, the Australian Government has shown a strong commitment to providing businesses with the right conditions for growth and investment<br />the main forum for trade liberalisation in an industry policy setting has been the unilateral reduction in trade barriers on an industry-by-industry basis following public inquiries by the Tariff Board and its successors. By contrast, the main component of trade policy has been Australia's commitment to the multinational trade negotiations through general agreement on tarriffs and trade (GATT). In the Multilateral Trade Negotiations, access to the Australian market for manufactures was tabled as a concession, but such actions were widely accepted as yielding a net benefit to Australia.<br />Regulatory standards<br />In fact, with regulatory procedures taking just two days, Australia has been ranked as the third fastest place in the world to start a business (Source: The World Bank Doing Business 2009).<br />Businesses can invest in Australia with confidence in the security and transparency of Australia's regulatory systems. This provides predictability and certainty for business planning.<br />Unlike many countries in the region, there are no foreign exchange controls in Australia and the currency is fully internationalised..<br />
  18. 18. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Legal and Regulatory systems<br />AUSTRALIA INDUSTRIAL POLICY<br />The five principles guiding Australia’s trade policy logically give rise to a set of disciplines governing the negotiation of trade agreements and their content. These disciplines are:<br />• Multilateral agreements offer the largest benefits;<br />• Regional and bilateral agreements must not weaken the multilateral system – they must be genuinely liberalising, eliminating or substantially reducing barriers to trade;<br />• Australia will not seek to entrench preferential access to markets in trade negotiations, but simply an opportunity to compete on terms as favourable as anyone else’s;<br />• Australia will not allow foreign policy to dictate parties to and the content of trade deals;<br />• The public will be well informed about negotiations for, and the content of, proposed trade agreements and have an opportunity for input; and<br />• Australia will press ahead with domestic economic reform irrespective of whether other countries agree to reform their economies.<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />✓<br />
  19. 19. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Example<br /><ul><li>Australia-Korea Free Trade Agreement (2011)
  20. 20. Japan-Australia Free Trade Agreement (2007)
  21. 21. China-Australia Free Trade (2005)</li></ul>Asia Pacific Economic Cooperation (APEC)<br />- Establis 1989 for Trade Nagotiation form in Asia-Pacific reagion for free & open trade and invesment in the region <br />
  22. 22. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Conclusion / Summery<br /> A successful National Industrial policy practise is maintaining a sustained economy growth in country<br />As a outcome, comparative advantage to country<br />It is attaining International Competitiveness and Transforming the country in to a major partner and player in the global arena<br />
  23. 23. NATIONAL INDUSTRIAL POLICY<br />AUSTRALIA<br />Reference <br /><ul><li> Parliament of Australia-Parliamentary Library </li></ul> (23/05/2011)<br /><ul><li> Australian Government- Eparment of Foreign Affairs & </li></ul> Trade (22/05/2011).<br /><ul><li> Independent Education Union of Australia</li></ul><br />