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House of Assembly - Fifty-Third Parliament, Second Session (53-2)
2017-11-15 Daily Xml
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Steel Industry

The Hon. A. PICCOLO (Light) (14:22): My question is to the Minister for Small Business. Can he tell the house how has the Steel Industry Small Grants Scheme supported South Australian businesses to create jobs?

The Hon. M.L.J. HAMILTON-SMITH (Waite—Minister for Investment and Trade, Minister for Small Business, Minister for Defence and Space Industries, Minister for Health Industries, Minister for Veterans' Affairs) (14:22): I thank the member for Light for the question. Through the Office of the Industry Advocate, the state government is continuing to support South Australian steel manufacturers to grow their businesses and to create jobs. In May, 26 local fabrication and manufacturing businesses were provided with small grants of $10,000 to develop their capability and to diversify and grow.

The Office of the Industry Advocate continues to track their progress, and I am pleased to update the house that 16 of these SMEs have since employed a total of 70 new staff—an outstanding result. A further 45 jobs are expected to be created over the next 12 months. The remaining 10 businesses to receive grants are continuing to advance plans to allocate the funds towards system upgrades and manufacturing efficiencies to meet national demand for their products and services.

Our steel businesses have endured enormous pressure from a global oversupply of steel, unfair competition from overseas and a downturn in prices, yet this is a clear, positive sign that with targeted support they can continue to build a successful business model into the future. Some of those good news stories include Sonnex, who since May have employed 20 new staff, with an additional 20 new jobs expected to be created over the next few months, predominantly former Holden workers.

The Bargain Steel Centre has employed 10 new staff and have reported that another 20 jobs will be created in the next 12 months. Iguana Creative has employed eight new staff. Specialised Solutions has employed six new staff, and North East Engineering, Advanced Steel Fabrications, SA Structural and Ahrens have employed three new staff each. The list goes on: IXL Solar, Ultimate Engineering and Maintenance Services, Adelaide Profile Services, Maxispan, Northside Sheetmetal, Laser World Technologies, Kelly Engineering, Workspace Commercial Furniture, UCI Manufacturing. All these recipients of the Steel Industry Small Grants Scheme have advanced their businesses, accelerated growth and created new jobs.

The state government is sending a clear message that we will support the South Australian steel sector and the broader small business community. We are on their side. We are here to help them grow, to be prosperous, to employ more South Australians and to continue to thrive. We are on the side of small business, not the big end of town alone. The state government believes South Australia is tracking towards a positive future, propelled by strong business activity, as increases in investment and an outward-looking economy transpire. It is another good sign for the optimists and another sad day for the pessimists.

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