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Protecting Australian Industries It's a shame that the Australian government doesn't
protect Australian farmers and manufacturers. China protects it's car industry by having high tariffs on imported cars. All imported
cars are very expensive in China because the government wants Chinese people to
buy Chinese made cars. In Japan the Japanese rice costs $32.35 for 5kg
(expensive for sure). Australian rice in Japan costs $33 for 5kg because it has
high tax to protect the
Japanese Farmers. In Europe
most governments subsidizes their farmers' incomes so they can earn a good income regardless of the value of
the crop at that time (from Encyclopedia of the Nations and the Parliamentary
Assemble Council of Europe). Have you noticed very cheap canned tomatoes from
Italy? The Australia does not subsidize its farmers' income like the EU
does. We think it's a great shame that the Australian
government doesn't support Australian manufacturing. We have the second highest
minimum wage in the world. It is expensive for companies to manufacture
here and compete on a global stage when employment costs and taxes are so
high. Import Tarrifs have been abolished, so
imports are often cheaper than Australian products because the cost of
making products outside Australia is cheaper than within Australia. If the
Australian government supported its own industries we would not have
manufacturers continually closing down. Other countries protect their
industries, why shouldn't we? The cheap imports might seem great now, but when
Australians don't have jobs and more people are on the dole, will our taxes
increase to support unemployment costs? What will Australians do if we import
everything? We can not all work in the mines and in tourism. Why Are Some Imports So Cheap? Products imported from countries such as Thailand,
Taiwan, Pakistan, and China are often very cheap because labor costs are low in
those countries. In China, the minimum wage can be as little as $0.68
international dollars per hour (from
http://en.wikipedia.org/wiki/Minimum_wage_law#People.27s_Republic_of_China), Australia has the third highest minimum wage in the world
(according to Wikipedia) at $15 per hour. Only Luxemburg and The Netherlands
have minimum wages at $20,197 and $19,203 respectively. So in China the minimum wage is $0.45 per hour but in
Australia the minimum wage is $15 per hour. Of course it is difficult for
Australian companies to compete with cheap imports. We need to protect our
industries in Australia or we will lose them. We will lose our skills and
manufacturing plants. We can not all be involved with exporting coal! But we do
need Australian to have jobs. We should be able to make our own
food. When it comes to wages The World is not a level playing
field so ˇ "free trade" or cheap imports competing with Australian products is
not fair. Australian companies must pay Australians more than all other
countries in the world (except 2) so of course our products will cost more.
Other countries protect their industries, employers, employees, farmers and
investors. Why can't the Australian government protect Australian
industries, employers, employees, farmers and investors? HELPING AUSTRALIA WHY DO WE SUPPORT AUSTRALIAN
COMPANIES Australian companies: * Pay higher taxes in Australia than
multinational companies. * Keep profits in Australia
. * Are more likely to manufacture in
Australia . * Are more likely to use Australian
produce from Australian farmers. * Employ
Australians. You can choose to make a difference too !!!! All products
on our website are from Australian owned companies. Proud Retail Supporter of Australian Made &
Australian Grown We have a rating system for the products on our
website: AAAA = Australian owned, Australian made from Australian
materials or ingredients. AAA = Australian owned, Australian made from local and
imported ingredients. AA = Australian owned, imported product, packaged in
Australia. A = Australian owned, imported
product. Consumer Awareness of Australian
Made Buying Australian is much more important to
consumers than Australian business believes. That's a major finding from 1999
research to assess the importance of country of origin information to consumers
and business. The research suggests Australian businesses have
underestimated the value of promoting the origin of their products. Over 95 per
cent of consumers recognise the Australian Made logo and most consumers say made
in Australia is an important purchase criterion, but only half of Australian
businesses believe such branding is an important marketing
tool. The awareness level of the Australian Made logo is high,
with 96% of respondents aware of the Australian Made logo. The research shows some 91% of respondents have purchased
goods with the Australian Made logo. The most commonly reported types of
purchases made with the logo were food (25%), adult fashion clothing (20%),
children's clothing (11%) and other grocery items excluding food
(11%). Females were more likely to consciously look for the
Australian Made logo than males when purchasing food, clothing and a range of
other items. The main reasons why people buy Australian Made products
are: * to create jobs * to help the
economy * to support fellow
Australians * for the future of our
country * to reduce imports * to help
manufacturers. Importance of buying
Australian Overall 89% of respondents felt it was important to them
that the goods or products they purchase are of Australian origin. Some 19% of
respondents considered it "extremely important", 37% considered it "very
important" and 32% considered it "important". When respondents were asked how often they actively
sought goods or products of Australian origin, 12% said "always", 43% said
"mostly" and 27% said "sometimes". Awareness of the importance of buying Australian, and
frequency of seeking Australian made goods, is higher amongst older respondents
(35+ and highest amongst 50+) than younger respondents
(18-34). Country of origin research Industry and consumer research conducted nationally by
Sweeney Research on behalf of the Commonwealth Department of Industry, Science
and Resources (in May 1999) found that industry underestimates the importance
consumers place on country of origin information. Almost 70% of consumers look for information about a
product's origin when making purchasing decisions. This far exceeds industry
predictions. Of the businesses surveyed, only 55% agreed that consumers look for
country of origin information when shopping. The consumer research found that: * Consumers look for country of origin
labels to help them determine the quality of an item and to support local
industry and employment * Around 88% of consumers prefer to
buy Australian whenever possible and 77% are happy to pay a little extra for
Australian made goods. Consumers are keen to know where a product comes from and
are more likely to purchase a product if they know its origins. When consumers
specifically ask for country of origin information at the point of sale 78% of
those who receive an answer go on to purchase the product whereas only 45% of
those who do not receive the requested information go on to purchase the
goods. Importance of buying Australian varies with product
type Research shows that the importance consumers place on
country of origin varies according to product type: * 83% of consumers believe country of
origin information is important when purchasing fresh food * 72% believe country of origin
information is important when deciding which packaged foods to
buy * 63% believe country of origin
information is important when choosing clothing and shoes * 63% of consumers purchasing white
goods look for country of origin information * 57% of consumers think country of
origin information is important when looking at big ticket items such as cars,
motorbikes and boats * 51% of consumers still look for
country of origin information on items such as tools and electrical
appliances * 50% of consumers believe country of
origin information is important when purchasing household
furniture. The research also revealed that: * 64% of industry respondents show
country of origin labelling information on their products * but only 7% could accurately
describe what 'made in' means * and only 14% could describe what
'product of' represents. Measurement of awareness of the Australian Made logo was
commissioned by the Australian Made Campaign and undertaken by Roy Morgan
Research in August 1999 and September 1999. Research results reported here are
reproduced from the report to the Campaign by Roy Morgan Research. Results from
the Sweeney Research are reproduced from DISR Country of Origin Labelling,
Industry - Industry Fact Sheet available at
www.isr.gov.au/labelling This information was taken from The Australian Made
Campaign website 3 December 2010 - ACCC calls for comment on
proposed acquisition of P&N Beverages by Asahi The Australian Competition and Consumer Commission today
issued a Statement of Issues on the proposed acquisition of P&N Beverages
Australia Pty Ltd by Asahi Holdings (Australia) Pty Ltd. The Statement of Issues seeks further information on
certain competition issues which have arisen from the ACCC's
review. The ACCC invites submissions from the market in response
to the Statement of Issues by 20 December 2010. As a result, the ACCC's
final decision will be deferred until 3 February 2011. Submissions can be sent by email to the ACCC at: mergers@accc.gov.au Statement
of issue is at: http://www.accc.gov.au/content/trimFile.phtml?trimFileName=MER10+4304.pdf&trimFileTitle=MER10+4304.pdf&trimFileFromVersionId=959477 ACCC calls for comment on proposed pharmaceutical
acquisition (Herron) The Australian Competition and Consumer Commission today
issued a Statement of Issues on the proposed acquisition of Sigma
Pharmaceuticals Limited's Pharmaceutical Division by Aspen Pharmacare Holdings
Limited. The Statement of Issues seeks further information on
certain competition issues which have arisen from the ACCC's market inquiries to
date. The ACCC invites further submissions from the market in
response to the Statement of Issues by 11 November 2010. As a result, the ACCC's
final decision will be deferred until 25 November 2010. Submissions can be sent by email to the ACCC at: mergers@accc.gov.au The Statement of Issues will be available on the public
merger register on the ACCC's
website,www.accc.gov.au/mergersregister. Monday 15th November 2010 - Foreign
land grab on Aussie farms and brands to secure local food
supply By Steve Lewis and Nic Christensen From: The Daily
Telegraph November 15, 2010 Read more:
http://www.news.com.au/business/foreign-farm-raiders-buy-9bn-of-aussie/story-e6frfm1i-1225953501132#ixzz15JacUkY5 From www.ausfoodnews.com.au Sucrogen sale to Wilmar receives FIRB
approval * November 9, 2010 * Nicole
Eckersley Federal Treasurer Wayne Swan yesterday announced the
Foreign Investment Review Board’s approval of the sale of CSR Ltd’s sugar and
renewable energy business, Sucrogen, to Singaporean food giant Wilmar
International. “I have taken account of Wilmar’s ambitious growth plans
for Sucrogen. These include the expansion of the company’s Australian
operations by providing better access for its sugar products to growth markets
in Asia, and jointly developing refining facilities and distribution networks in
the region,” said Swan. “Wilmar has informed FIRB that it does not anticipate any
significant changes to Sucrogen’s operations and its management, with current
employment conditions remaining unchanged. Wilmar has also advised that if its
growth plans are achieved, there will be increased jobs in the Australian sugar
industry.” As part of the decision, Wilmar (through Sucrogen) will
be restricted in its ability to influence industry marketing body Queensland
Sugar Limited, if it chooses to take its marketing elsewhere. Any interest in
sugar storage business Sugar Terminals Ltd by Sucrogen will also be subject to
“proper regard to the broader interests of the industry and other
participants”. Proceeds of the sale to CSR’s shareholders will be
limited, however, with the company required to keep back enough money to cover
its existing asbestos compensation claims, as well as costs to cover estimated
future claims. “CSR has consistently stated that it accepts its
responsibilities with respect to its asbestos liabilities and that it would
maintain a responsible capital structure to support its future obligations, as
it has done for over 20 years,” said a release by the company. “As further evidence of this commitment, CSR has agreed
to put in place arrangements for the external oversight by an independent body
of any repatriation of capital by CSR (other than ordinary dividends) to its
shareholders.” The transaction remains subject to approval from the
Overseas Investment Office (OIO) in New Zealand and other “minor customary
conditions”. The sale can take place within five days of completion of
these conditions, which CSR said it expects to occur before the end of
November. Letter to the Foreign Investments Review
Board 2 November
2010 It has come to my attention that CSR’s 75% ownership of
Sugar Australia is being bought by Wilmar, the world's largest palm oil trading
company. Sugar Australia is the only Australian retailer of sugar. If this
company is sold to a non-Australian company, Australians will not be able to buy
Australian sugar and the control of one of our biggest rural resources will be
out of our hands. • Sugar Australia Pty Ltd is currently
with the Foreign Investments Review Board. • Wilmar, the world's largest palm oil
trading company is intending to buy CSR’s share of Sugar
Australia. • Sugar is Australia's second largest
rural industry. • 95% of Australian’s sugar comes from
Queensland cane growers. • If the largest retailer of sugar is
no longer Australian owned then the control and eventually the price of sugar is
out of our hands. • I wish to protest against the sale of
an Australian owned company CSR’s Sugar Australia to a foreign owned
company. The Foreign Investment Policy states: “The Government
reviews foreign investment proposals against the national interest case-by-case.
We prefer this flexible approach to hard and fast rules. Rigid laws that
prohibit a class of investments too often also stop valuable investments. The
case-by-case approach maximises investment flows, while protecting Australia’s
interests. Our Foreign Investment Review Board (FIRB) will work with
an applicant to ensure the national interest is protected. But, if we ultimately
determine that a proposal is contrary to the national interest, we will not
approve it. The Government also recognises community concerns about
foreign ownership of certain Australian assets. The review system allows the
Government to consider these concerns when assessing Australia’s national
interest.” Apparently the sale is currently being approved by the
Foreign Investments Review Board. If this is the case I wish to protest most
strongly. Too many Australian companies are being sold to non-Australian
companies. After Golden Circle was sold to Heinz, an American
company, Golden Circle has started manufacturing some of their products outside
Australia. Golden Circle is no longer Australian owned or made (for some
products). The main dairy companies are now all foreign owned. Dairy
Farmers, Pauls, and Peters are not owned by Australian
companies. P & N Beverages is being sold to a Japanese company.
Sugar Australia is being sold to a Chinese company. This makes it very difficult
for those of us who are attempting to support Australian owned companies.
Allowing the sale of Sugar Australia (CSR Sugar) to a non-Australian
company when there are no other players in the Australian market is unacceptable
and curtails our choices. I wish to protest against the sale of an Australian owned
company CSR’s Sugar Australia to a foreign owned company. Sincerely Katie Hooker, Everton Hills, Brisbane. Attention ACCC and The Foreign Investment Review
Board: Another Australian Company to go
Offshore! It has come to my attention that P & N Beverages is
being bought by Asahi, a Japanese company. Asahi also owns Schweppes Australia
another large non-alcoholic drink company. P & N is the last Australian owned fruit juice,
cordial and soft drink company. If this company is sold to a non-Australian
company, Australians will not be able to buy an Australian drink - all will be
from a foreign owned company and eventually manufactured
overseas! Apparently the sale is currently being approved by the
ACCC. If this is the case I wish to protest most strongly. Too many Australian
companies are being sold to non-Australian companies. After Golden Circle was sold to Heinz, an American
company, Golden Circle has started manufacturing some of their products outside
Australia. Golden Circle is no longer Australian owned or made (for some
products). The main dairy companies are now all foreign owned. Dairy
Farmers, Pauls, and Peters are not owned by Australian
companies. P & N Beverages being sold to a Japanese company is
just another nail in the coffin to those of us who are attempting to buy local
and support local industries and local employment. Allowing the sale of P&N
Beverages to a non-Australian company when there are no other players in the
Australian market is unacceptable and curtails our
choices. Why We Need Balance By Dick Smith A number of articles have appeared recently, including
two by Dennis Shanahan, accusing me of the most extraordinary sins. I have been
denounced for misusing patriotism to sell products and stirring up everything
from paranoia and jingoism to outright xenophobia in the Australian
public. Unfortunately, the writers of these articles have all
made the same fundamental error. They have failed to understand my overriding
goal ever since I started Dick Smith Foods. That goal has been simply to achieve
balance. As the publicity material said over 12 months ago, at the time of the
company's launch, "I am determined to back our farmers and fight back for a fair
balance of Australian ownership in our food industry." Because originally I made money from importing electronic
components from overseas, some journalists criticise me for pushing the
advantages of buying goods produced in Australia by Australian-owned companies.
However, I am not being hypocritical; I am being totally consistent. My attitude
has always been, and still is, that you buy the best and sell the best. You
never accept mediocrity. When I was a spokesman for the "Australian Made"
campaign I clearly stated that you should only buy Australian "when it's as
good". Australia makes few electronic components, and it does
not necessarily make the best. On the other hand Asian countries - principally
Japan - make the best. So that's where I went in search of products for Dick
Smith Electronics. Now, when it comes to food, I believe Australia grows the
best in the world. So it shocked me to discover that 85 per cent of the food in
a typical supermarket trolley is either imported or comes from foreign-owned
companies. I'm a strong supporter of free trade as it will assist third world
countries to raise their standard of living and I accept globalisation as a fact
of life. But here we get back to the issue of balance. I firmly believe that we
should strive for a balance in our trade, with roughly the same quantities of
goods, services and profits coming into Australia as are going out. We have
nothing like that kind of balance at the moment. Every day $100 million more
leaves the country than comes in. Another of the sins I'm accused of committing is of only
employing a small number of people at Dick Smith Foods. However, my accusers
fail to mention the hundreds of extra people who have been taken on by canneries
and Australian-owned food producers around the country as a result of my
company's activities. I believe there are distinct advantages of local
ownership of companies as the profits are most likely to be re-invested in
Australia creating further wealth. This is why I have always believed that
Australian made is good, but Australian made by an Australian owned company is
even better. Not that I have anything against foreign companies
operating in Australia. Quite the opposite: I have stressed this from the moment
Dick Smith Foods was launched. To accuse me of being against foreign ownership is like
saying that an Australian who barracked for Australian swimmers at the Olympic
games must be against foreign swimmers. Of course that's not the case. It's
simply a case of supporting the home team. Dick Smith Foods is waving the flag
for Australia and Australian companies. But having said that, I should add that I prefer the old
ways of foreign investment, by which companies would take the risk of creating a
new business here and actually generating jobs. Good examples of this are
General Motors and Ford. These days foreign companies tend to come in, buy up
existing successful Aussie companies at bargain-basement prices (because of the
Australian dollar's low value), "down size" (ie sack staff), put up prices and
then repatriate all the profits out of the country. The Australian funeral
industry has been particularly hard hit in this way. Once entirely
Australian-owned and mainly family-run, it is now in the hands of a large
American funeral conglomerate. I simply cannot see the advantage for Australia
of this type of foreign ownership. I believe this is one of the downsides of globalisation.
Another is that as companies become huge they tend to stop competing with one
another because they operate and think in the same way. These mega companies
also result in the situation where it's virtually impossible for a new
entrepreneur to start up in competition. Without strong and new competition I
believe our proven successful system of free enterprise could be
doomed. Even so, I accept that globalisation is here to stay.
Unfortunately, although the advantages of globalisation get glowing coverage
from some journalists, there's no rational discussion about some of its
disadvantages and how they should be handled. It is impossible to discuss these
issues rationally when people such as Dennis Shanahan take such an extreme
position. As well as contributing to the creation of hundreds of
jobs, Dick Smith Foods is enabling me to use my marketing skills to help
Australian businesses that lack those skills. A company like Kraft can spend
millions of dollars marketing peanut butter. Through its network of
international contacts, it can call on the skills of very best - and
highest-paid - marketing people in the world. Small Australian business simply
can't do this. So I'm putting my skills at their disposal, and I'm getting
tremendous satisfaction out of giving them a boost. Experience has taught me that it would have taken me 10
or 15 years to create even one manufacturing facility for a food company from
scratch. I feel that by doing things the way I have done them with Dick Smith
Foods I can help Australian farmers and food producers a lot more simply - and a
lot more quickly. We are also supporting Australian charities. This is not
something that writers such as Dennis Shanahan and television commentators such
as Stuart Littlemore can bring themselves to mention. They haven't told their
audiences about the $600,000 that we have given so far to charities such as the
Salvation Army. Of course, I give money away purely for selfish reasons -
it gives me immense satisfaction. I am also well off so I don't need any more
money. I understand that most foreign companies give the
majority of their charitable support in their home countries. This is logical,
but just another disadvantage of the lack of balance of foreign and local
ownership in this country. I believe it's sad that Dennis Shanahan and a small
number of journalists have taken such an extreme position in attacking me. With
over $80 million of sales of our products in the last 12 months, it is obvious
that the marketplace has shown that many Australians agree that there needs to
be a fairer balance between Australian and foreign ownership. This article was written by Dick Smith of Dick Smith
Foods. Address: Dick Smith Foods Pty Ltd, 2 Booralie Road, Terrey Hills, NSW,
2084, Australia. (Est No 2297)
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