The Caterpillar Transition Taskforce has assisted in the creation of a further 95 new manufacturing jobs following the second round of funding from the Advanced Manufacturing Transition Fund.
The Government took decisive action to establish the Transition Taskforce following Caterpillar’s decision to relocate to Thailand, to support the workers, their families, the industry and region.
The Taskforce established the Advance Manufacturing Transition Fund to fast-track job creating projects and to secure a strong future for the sector. The fund is part of $3 million allocated for the recommendations of the Taskforce.
The first round of applications, announced in December last year, resulted in the creation of 61 new jobs across five businesses that shared in $1.05 million Government funding, and leveraged a further $1.44 million private investment.
Today, I am pleased to announce that as a result of the second round of funding 95 new jobs will be created across seven Tasmanian businesses, leveraging a further $8.25 million in private investment.
Collectively, through the two rounds of offers, the fund has resulted $11 million in co-investment and at least 156 new jobs.
The second round will result in $765,000 from the Transition Fund going to businesses and new products, which cement our reputation for innovation in advanced manufacturing.
Importantly, it includes securing the establishment of a new enterprise, Loadpro Manufacturing, in Tasmania, which otherwise would have been located offshore in Indonesia or in Queensland.
The successful Round Two fund recipients are:
· Loadpro Manufacturing Pty LTD - $259,000 to establish Loadpro Manufacturing in Burnie. This is an exciting new joint venture between Loadpro Australia and Jayben Australia, which will supply a new, innovative, cost competitive 60 tonne truck into the global civil construction and mining industry. This truck has been in development for five years, and prototypes have already sold overseas. With orders in train a fully equipped manufacturing facility needs to be established, and Burnie was selected over Indonesia and Queensland as a result of this funding opportunity, the availability of a highly skilled workforce and a world class supply chain. This will create $6.3 million in local investment and 40 FTE jobs in Burnie in the first two years.
· Tasmanian Quality Meats - $140,000 to introduce a new tripe processing line to enable the company to commence collecting and processing tripe to sell to Tier 2 export markets. Currently 85 FTEs are employed, with the company projecting an additional 18 FTEs to be created in the first two years.
· Botanical Resources Australia Manufacturing Services - $25,000 to enable the production of an organic compliant pyrethrum product line to service the global chemical market, leveraging the clean, green brand of Tasmania. Currently 46 FTEs are employed, with the company projecting an additional eight FTEs to be created in the first two years.
· Definium Technologies - $40,875 to support the stage three upgrade of the company’s advanced electronics manufacturing facility with the purchase and commissioning of a vapour phase reflow oven and additional feeders for pick and place assembly machines. Currently five FTEs are employed, with the company projecting an additional four FTEs to be created in the first two years.
· Tas Fencing Group - $80,000 to enable the purchase of equipment to manufacture and export chain wire utilising Australian sourced steel. Currently 15 FTEs are employed, with the company projecting an additional six FTEs to be created in the first two years.
· Bridestowe Estate - $70,280 to assist with the upgrade of the distillation capability, improvements in manufacturing efficiencies and the installation of temperature controlled storage. Currently 20 FTEs are employed, with the company projecting an additional four FTEs to be created in the first two years.
· Status Technologies - $150,000 to support the design, development and production of the vehicular sensor and communication platform units utilising GSM and satellite to provide real time safety tracking systems across a range of industry applications including emergency services. Currently eight FTES are employed, with the company projecting an additional 15 FTEs to be created in the first two years.
Just as was the case with the first round projects, these projects show what Tasmania is capable of.
These projects will also have an immediate flow-on effect on suppliers, as advanced manufacturing has one of the greatest multiplier impacts of any sector: with every dollar invested in advanced manufacturing, another four dollars are spent down the supply chain.
A Caterpillar Transition Taskforce Report will be released in coming weeks, including funding for further priority initiatives in the advanced manufacturing sector.