House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2013-06-05 Daily Xml

Contents

DEFENCE INDUSTRY

Ms BETTISON (Ramsay) (14:28): My question is to the Minister for Defence Industries. Can the minister tell the house about his recent official visit to Europe to promote defence industries in this state?

The Hon. J.J. SNELLING (Playford—Minister for Health and Ageing, Minister for Mental Health and Substance Abuse, Minister for Defence Industries, Minister for Veterans' Affairs) (14:29): I thank the member for Ramsay for her question. She is a great advocate for defence industries, particularly defence industries located in our northern suburbs that are so critical to the economy and provide so many jobs to so many people who live in our northern suburbs.

I recently travelled to Europe with the chief executive officers of Defence SA and the Defence Teaming Centre to engage international contenders for upcoming Australian defence projects, position South Australia as the ideal location for their Australian facilities and promote South Australia's capabilities as supply chain partners.

Regular international engagement is critical to building strong relationships between South Australia and key players in the global defence industry and reinforces our position as the nation's undisputed defence state. Defence is a vital industry for this state, forming the foundation of our advanced manufacturing future. It remains a core plank of our economic development framework, with significant long-term opportunity for local industry to participate in Defence's massive equipment replacement program.

Over the next 15 years, in addition to the Future Submarines, the nation needs to replace a significant portion of its naval vessels, as well as its military vehicle fleet and maritime surveillance aircraft. I had the opportunity to visit Navantia, a major global naval shipbuilding player, and encouraged them to consider Techport for any future Australian expansion.

With the Future Submarine project committed to Techport, we have cemented South Australia's position as the centre of naval shipbuilding in Australia and the logical home for anyone operating in this space. Navantia is currently working on Australia's air warfare destroyer and landing helicopter docks projects. In fact, while touring their shipyard, I was able to inspect LHD Adelaide, which is nearing completion.

Land 400, which will replace the army's fleet of armoured fighting vehicles, is second in value only to the Future Submarine project and presents a major opportunity for South Australia. We visited a raft of companies that will potentially bid for this $10-plus billion project, including Iveco, BAE, Rheinmetall and Marshall, and reinforced South Australia's credentials in successfully delivering military vehicle projects.

I have personally invited these companies to visit South Australia later in the year to meet local firms that can partner in delivering this project. It is critical that we position South Australia right from the outset of these major projects, promote our robust and diverse industry base, and reinforce the state's resolute commitment to the defence sector. Can I thank Agent-General Mr Bill Muirhead for hosting a luncheon with key UK-based defence companies, allowing us to successfully showcase South Australia's defence credentials as they consider establishing or expanding their presence in Australia.