Prime Minister Julia Gillard, Minister for Defence Stephen Smith, Minister for Climate Change, Industry and Innovation Greg Combet and Minister for Defence Materiel Mike Kelly today outlined the Government’s plan for Australia’s defence industry. 

The 2013 Defence White Paper highlights the critical role that Australia’s defence industry plays in supporting the Australian Defence Force (ADF). 

The Defence White Paper further strengthens the Government’s commitment to our defence industry – with a focus on closer connections between strategic policy directions and defence policy for industry, and enhancing innovation, building competitiveness, and developing skills.  

The Government considers Defence industry cooperation and partnerships to be important elements in Australia’s deepening defence partnerships in the Indo-Pacific. 

The White Paper emphasises the importance of the Government’s Priority Industry Capabilities to ensure industry can continue to meet Defence’s critical capability delivery and sustainment needs.  

The Government has a track record of supporting the Australian defence industry, a commitment that was highlighted by the recent announcement of the establishment of a Defence Manufacturing Precinct to be based in Adelaide. 

The Defense Trade Cooperation Treaty between Australia and the United States that commences in May 2013 will be an important mechanism that will have substantial benefits for Australian industry.   

The Government has also established a Priority Industry Capability Development Fund, with funding of $10 million per year from the Defence Capability Plan (DCP).  

The Government will provide further assistance to Australia’s defence industry through:

• the establishment of the Defence Innovation Realisation Fund within the DCP funded at $10 million per year, to help mature innovative defence technologies;
• a strengthened Australian Industry Capability Program, to maximise opportunities for Australian industry to participate in domestic and international supply chains;
• continuation of industry assistance and support programs managed by Defence which provide grants and funding to companies to develop new equipment solutions and pursue export opportunities; and
• industry support programs which focus on helping industry to develop skills in critical and new fields, including the Skilling Australia’s Defence Industry Program. 

The Government is committed to providing clear guidance to industry on capability intentions and opportunities for local industry to compete for work.  

We will release an updated public Defence Capability Plan (DCP) and Defence Capability Guide in the coming months.   

The Government will also release an updated Defence Industry Policy Statement in the coming months. It will set out the Government’s vision for how Defence and industry will work together to achieve the priorities of this White Paper.   

Science and technology innovation also underpins this important White Paper and contributes to a strong ADF and an effective defence industry.  The White Paper highlights our pursuit of new international partnerships and continuing investment in our highly skilled and respected Defence Science and Technology Organisation.   

We will continue to enhance the partnership between Defence, industry, and the science and innovation community to deliver results for Australia’s defence capability. 

The White Paper reinforces the Government’s $1 billion Plan for Australian Jobs.  Innovation remains critically important in delivering leading edge capabilities for the ADF and also in applying existing knowledge and technology in new ways to create value in the delivery of new capabilities and reduce both acquisition and sustainment costs.   

CANBERRA

3 May 2013 

PRESS OFFICE (02) 6277 7744
MINISTER SMITH’S OFFICE (02) 6277 7800
MINISTER COMBET'S OFFICE (02) 6277 7920