SA Economy

Anything goes here.. :) Now with Beer Garden for our smoking patrons.
Message
Author
User avatar
1NEEDS2POST
High Rise Poster!
Posts: 241
Joined: Tue Jun 26, 2018 5:01 pm
Has thanked: 49 times
Been thanked: 42 times

Re: SA Economy

#496 Post by 1NEEDS2POST » Sat Apr 18, 2020 10:52 pm

Norman wrote:
Thu Apr 16, 2020 7:34 pm
They need to firstly assess what profession these unemployed people are, and then see what sort of measures the government should be putting on place. No use looking for engineers if the unemployed people are coming from a retail or hospitality background (unless they have the qualifications).
There are across the board job shortages. If more engineers are needed, there are plenty in SA out of work, especially graduates. Every time employers complain about skills shortages, it turns out to be fake news. We don't need to worry about skills mismatches until unemployment is below 2 %.

Jaymz
Legendary Member!
Posts: 608
Joined: Sat Mar 22, 2014 5:12 pm
Has thanked: 43 times
Been thanked: 84 times

Re: SA Economy

#497 Post by Jaymz » Wed Apr 29, 2020 5:04 pm

CommSecs State of the States report has been released for the March '20 quarter. S.A has moved up one spot to 5th overall out of eight states and territories, ranked 2nd in three of the categories..... granted it all probably means squat from here on in :?

Once again, these results are based on current performance against the decade average for each category.

https://www.commsec.com.au/content/dam/ ... l_2020.pdf

User avatar
1NEEDS2POST
High Rise Poster!
Posts: 241
Joined: Tue Jun 26, 2018 5:01 pm
Has thanked: 49 times
Been thanked: 42 times

Re: SA Economy

#498 Post by 1NEEDS2POST » Thu Apr 30, 2020 1:13 am

Jaymz wrote:
Wed Apr 29, 2020 5:04 pm
CommSecs State of the States report has been released for the March '20 quarter. S.A has moved up one spot to 5th overall out of eight states and territories, ranked 2nd in three of the categories..... granted it all probably means squat from here on in :?

Once again, these results are based on current performance against the decade average for each category.

https://www.commsec.com.au/content/dam/ ... l_2020.pdf
That's just looking in the rearview mirror. If the talk about manufacturing in Australia eventuates, then SA will be number one.

Jaymz
Legendary Member!
Posts: 608
Joined: Sat Mar 22, 2014 5:12 pm
Has thanked: 43 times
Been thanked: 84 times

Re: SA Economy

#499 Post by Jaymz » Thu Apr 30, 2020 12:46 pm

1NEEDS2POST wrote:
Thu Apr 30, 2020 1:13 am
Jaymz wrote:
Wed Apr 29, 2020 5:04 pm
CommSecs State of the States report has been released for the March '20 quarter. S.A has moved up one spot to 5th overall out of eight states and territories, ranked 2nd in three of the categories..... granted it all probably means squat from here on in :?

Once again, these results are based on current performance against the decade average for each category.

https://www.commsec.com.au/content/dam/ ... l_2020.pdf
That's just looking in the rearview mirror. If the talk about manufacturing in Australia eventuates, then SA will be number one.

I like your enthusiasm and no-one would like to see S.A ranked number 1 more than I would. But i'm 99% sure we have never topped the rankings in a single quarter, ever. Well, in this particular report anyway. But yes, maybe this whole Coronavirus thing might just help kick start some more manufacturing in our state.

User avatar
rev
SA MVP (Most Valued Poster 4000+)
Posts: 4440
Joined: Sat Nov 11, 2006 12:14 pm
Has thanked: 370 times
Been thanked: 526 times

Re: SA Economy

#500 Post by rev » Sat May 09, 2020 8:25 am

So apparently India is offering massive amounts of land for companies leaving China to relocate to.

Why isnt our state government together with the business community/BusinessSA contacting Australian companies with operations in China and foreign companies as well, and enticing them to relocate here?
Throw up Gillman to the north of the PREXY as a special economic zone with favourable tax conditions and what not, wavr fees and such in getting facilities up and running...???

The Japanese government is paying its companies to leave China, even to places in SE Asia. Why isnt our government taking advantage of this, saying to Japanese companies relocate to SA and we will give you favourable conditions on top of your own government helping with your relocation costs?

User avatar
ChillyPhilly
Super Size Scraper Poster!
Posts: 1729
Joined: Sun Dec 07, 2008 11:35 pm
Location: Adder-Laid, South Australia.
Has thanked: 301 times
Been thanked: 619 times
Contact:

Re: SA Economy

#501 Post by ChillyPhilly » Sat May 09, 2020 9:48 am

rev wrote:
Sat May 09, 2020 8:25 am
So apparently India is offering massive amounts of land for companies leaving China to relocate to.

Why isnt our state government together with the business community/BusinessSA contacting Australian companies with operations in China and foreign companies as well, and enticing them to relocate here?
Throw up Gillman to the north of the PREXY as a special economic zone with favourable tax conditions and what not, wavr fees and such in getting facilities up and running...???

The Japanese government is paying its companies to leave China, even to places in SE Asia. Why isnt our government taking advantage of this, saying to Japanese companies relocate to SA and we will give you favourable conditions on top of your own government helping with your relocation costs?
The Liberal Party does not do visionary, progressive, long-term planning.

Would this create some form of legacy if done? Yes.
Is it a good idea? Yes.

Will doing this make the government a short-term profit that nobody cares about or will remember? No.
Therefore, will the government do it? No.
Our state, our city, our future.

All views expressed on this forum are my own.

how good is he
Legendary Member!
Posts: 1118
Joined: Thu Jan 24, 2013 1:26 am
Has thanked: 1 time
Been thanked: 63 times

Re: SA Economy

#502 Post by how good is he » Sat May 09, 2020 9:07 pm

While I agree it would be great to entice new companies to SA and Australia with free or subsidised land, I doubt our labour costs (and cost to manufacture anything) could compete with China or India. Not that I could recommend it but can you ever see workers/unions accepting wages of say $2 day? I have also heard recent stories of apprentices resigning from their jobs as they can earn more on the dole now.

Jaymz
Legendary Member!
Posts: 608
Joined: Sat Mar 22, 2014 5:12 pm
Has thanked: 43 times
Been thanked: 84 times

Re: SA Economy

#503 Post by Jaymz » Sat May 09, 2020 10:04 pm

how good is he wrote:
Sat May 09, 2020 9:07 pm
While I agree it would be great to entice new companies to SA and Australia with free or subsidised land, I doubt our labour costs (and cost to manufacture anything) could compete with China or India. Not that I could recommend it but can you ever see workers/unions accepting wages of say $2 day? I have also heard recent stories of apprentices resigning from their jobs as they can earn more on the dole now.
Yep exactly. It all sounds so simple and awesome to do this, but even if we give them cheap/free land and even pay them to move here, the ongoing costs of doing business here compared to Asia will not stack up. High wages, electricity, construction costs, superannuation, insurances, freight, yada yada yada. Until Australia does some restructuring then it's very unlikely to entice any manufacturing back from Asia without any ongoing subsidies, that would then make most likely make it uneconomical in the long run. Think Holden for the last 10 years of its life, it was pretty much just an expensive form of welfare.

bits
Legendary Member!
Posts: 654
Joined: Sun Oct 26, 2014 9:24 pm
Has thanked: 24 times
Been thanked: 121 times

Re: SA Economy

#504 Post by bits » Sun May 10, 2020 12:18 am

China pays about $10-15 an hour (depending on exchange rate) for a basic manufacturing type job.
And that increases by more than 10% year on year.

Specialised industry, such as electronics, are likely much higher paid.

It is clearly lower than Australia for now but it isn't $2 a day. And the gap is closing as China evolves.
For some time yet Australia will not be able to compete on basic manufacturing but specialised industry we are likely not that far off. Once China evolves enough it will lose basic manufacturing to India or African countries or whoever elses economies are not yet advanced.

I didn't look in to their tax system to see if their $15 an hour is worth more or less to an individual than $15 an hour here.
Economic systems are complex and it is difficult to compare pays without understanding others costs.
$15 an hour is a lot more if you can buy a lettuce at the supermarket for 20c etc.


User avatar
rev
SA MVP (Most Valued Poster 4000+)
Posts: 4440
Joined: Sat Nov 11, 2006 12:14 pm
Has thanked: 370 times
Been thanked: 526 times

Re: SA Economy

#505 Post by rev » Sun May 10, 2020 5:42 pm

It's called tarrifs.

Why do goods manufactured with cheap labour overseas still cost what they did when manufactured here?
Corporations just want to make more profit. You the consumer still pay.

Thousands of manufacturing job have returned to America since 2010 after the 2008 financial crisis. Apple brought back 22,000 alone. And more firms have started shifting back since Trumps trade war with China. Dig a little beyond the msm which despises the man.

Tarrifs go a long way. If it's no longer profitable or as profitable, they'll relocate elsewhere. First and foremost the aim should be Australia, but secondly to anywhere but China, who whether people here want to admit or accept, is a foe and will become an even bigger foe in the years ahead. Therefore we can't be reliant on so much being manufactured in an unfriendly beligerrent, its suicide.
Besides, the traditional manufacturing job of yesteryear wont be returning here. Its high tech manufacturing. Advanced tech, bio tech, pharma, etc.

But thinking ahead, outside the box, having vision, isnt really something associated with South Australia so it will continue to fall further behind.

I know most of you dont believe it, but unless something drastically changes, within 20-30 years Adelaide will be relegated officially as a regional centre. Its already listed as such by the federal government for the purpose of overseas migration matters. Why do you suppose that is..
Some of you who work in local offices of big national firms wont have those jobs here, they'll be centralized in the big cities.

Right now Tesla is threatening to relocate their HQ out of California, to another state. But why not here? Why not have manufacturing here for certain regions of the world?
Anyone ever seen the production line? Its robot city. But Tesla still employs 50,000 odd people.
High tech manufacturing producing electric vehicles with a level of autonomy. They turn over 25 billion USD.
Why not get SpaceX to move some operations to South Australia, open an office in the CBD and build/test things out at Woomera?
What, we got some battery storage out of him and that's it, thats where we leave it? How typical.
And Elon Musk loves thumbing his nose at the old time establishment and doing things his way for the pleasure of proving them wrong. He's the sort of person this state needs, not these useless dinosaurs like Rob Lucas or no vision Marshall and Malinauskis and the rest of our political establishment.

Many opportunities out there, but no risks are taken, there's no vision. Most will see it as there's no plan for the remaining south road section, but thats only a small part of the bigger problem.

The economic upheavel of the 2008 crisis was missed, and now the same will happen with this crisis. Enjoy being in last place within 2-3 decades and staying there for a long time.


Btw, lets look at wage costs..
The average Holden worker apparently made AUD $66,000~
The average car manufacturing worker in the USA makes USD $44,000~, which is roughly AUD $65,000.

FORD has announced in November it is investing $1.7billion into two new plants in the USA and creating 3,000 new jobs.

But you can keep believing its all because our unions have driven up the cost of labour too high, even when your foreign made Toyota Camry now costs more then the locally made equivalent did.

SBD
Legendary Member!
Posts: 1491
Joined: Thu Apr 03, 2014 3:49 pm
Location: Blakeview
Has thanked: 455 times
Been thanked: 112 times

Re: SA Economy

#506 Post by SBD » Sun May 10, 2020 7:35 pm

rev wrote:
Sun May 10, 2020 5:42 pm
It's called tarrifs.

Why do goods manufactured with cheap labour overseas still cost what they did when manufactured here?
Corporations just want to make more profit. You the consumer still pay.

Thousands of manufacturing job have returned to America since 2010 after the 2008 financial crisis. Apple brought back 22,000 alone. And more firms have started shifting back since Trumps trade war with China. Dig a little beyond the msm which despises the man.

Tarrifs go a long way. If it's no longer profitable or as profitable, they'll relocate elsewhere. First and foremost the aim should be Australia, but secondly to anywhere but China, who whether people here want to admit or accept, is a foe and will become an even bigger foe in the years ahead. Therefore we can't be reliant on so much being manufactured in an unfriendly beligerrent, its suicide.
Besides, the traditional manufacturing job of yesteryear wont be returning here. Its high tech manufacturing. Advanced tech, bio tech, pharma, etc.

But thinking ahead, outside the box, having vision, isnt really something associated with South Australia so it will continue to fall further behind.

I know most of you dont believe it, but unless something drastically changes, within 20-30 years Adelaide will be relegated officially as a regional centre. Its already listed as such by the federal government for the purpose of overseas migration matters. Why do you suppose that is..
Some of you who work in local offices of big national firms wont have those jobs here, they'll be centralized in the big cities.

Right now Tesla is threatening to relocate their HQ out of California, to another state. But why not here? Why not have manufacturing here for certain regions of the world?
Anyone ever seen the production line? Its robot city. But Tesla still employs 50,000 odd people.
High tech manufacturing producing electric vehicles with a level of autonomy. They turn over 25 billion USD.
Why not get SpaceX to move some operations to South Australia, open an office in the CBD and build/test things out at Woomera?
What, we got some battery storage out of him and that's it, thats where we leave it? How typical.
And Elon Musk loves thumbing his nose at the old time establishment and doing things his way for the pleasure of proving them wrong. He's the sort of person this state needs, not these useless dinosaurs like Rob Lucas or no vision Marshall and Malinauskis and the rest of our political establishment.

Many opportunities out there, but no risks are taken, there's no vision. Most will see it as there's no plan for the remaining south road section, but thats only a small part of the bigger problem.

The economic upheavel of the 2008 crisis was missed, and now the same will happen with this crisis. Enjoy being in last place within 2-3 decades and staying there for a long time.


Btw, lets look at wage costs..
The average Holden worker apparently made AUD $66,000~
The average car manufacturing worker in the USA makes USD $44,000~, which is roughly AUD $65,000.

FORD has announced in November it is investing $1.7billion into two new plants in the USA and creating 3,000 new jobs.

But you can keep believing its all because our unions have driven up the cost of labour too high, even when your foreign made Toyota Camry now costs more then the locally made equivalent did.
Musk is an entrepreneur, not an MP. He shouldn't be compared to Lucas, Marshall and Malinauskas. Their California equivalents are Fiona Ma, Ian Calderon and Marie Waldron.

Sure, Musk is successful, but how many people started out like him and have not gone any further. You could be right that SA doesn't have any Musk-like people, and maybe our culture doesn't support recognising or building them up when they appear. Maybe we just don't recognise them when they pop up People like. R.M. Williams, Sir Edward Holden, David Shearer (built Australia's first motor car in 1898), Rupert Murdoch, Bill Moularadellis, Chris Thomas. I find as I am trying to make a list, I am thinking of successful businesses (and most of them, I couldn't name an individual), not personalities. Perhaps that says something about Australian culture versus US culture. You might think it's good, others might think that not hanging success on one individual is better. Perhaps Sanjeev Gupta is the closest thing SA has to Elon Musk at present, despite him being English.

We should do what we are good at even better, and sell it to the world.

User avatar
rev
SA MVP (Most Valued Poster 4000+)
Posts: 4440
Joined: Sat Nov 11, 2006 12:14 pm
Has thanked: 370 times
Been thanked: 526 times

Re: SA Economy

#507 Post by rev » Mon May 11, 2020 7:38 am

Who cares how many have started and failed? What because nit everyone succeeds..what..i don't get what point you're trying to make?

Musk/Tesla/SpaceX was just an example I used because of the existing connection with the Tesla battery at Jamestown.
He already knows the place, wouldnt need to put a big sales pitch to him.
Our unemployment rate is still high pre covid crisis. That says most of the car industry workers haven't found new jobs.
Why's it a bad idea to try get Teslato setup here? As I showed average car manufacturing wages here and in the USA are nearly identical. That can't be used as an excuse.

But, your overall posts tone is of its too hard, could fail, lets not do something different instead lets stick with the status quo.
This is exactly the prevailing mentality, the psyche of this state that I mention thats a problem and not only holding this state back but holding it hostage.
We need a shakeup of the status quo, because its failed.

User avatar
rev
SA MVP (Most Valued Poster 4000+)
Posts: 4440
Joined: Sat Nov 11, 2006 12:14 pm
Has thanked: 370 times
Been thanked: 526 times

Re: SA Economy

#508 Post by rev » Mon May 11, 2020 9:19 am

Wow this state government or should i say the treasurer still wants to increase fees and license costs despite a pandemic/economic crisis.

Now he's talking also about hitting people who they determine haven't been affected with a 2% increase in taxes.

He wont dare entertain the idea of him and the rest of the grubs in parliament taking a pay cut and reducing their own other costs like how many offices and staffers they all have, and even reducing their pension to be in line with societal norms and also granted to them when they reach retirement age.

There's so much they could cut from them selves, FIRST, and lead from the front for a change. But instead they want to tax people more and put fees in general up.

Other states have paused these fee and charges increase.

Lets not forget last year they jacked up fees and charges beyond the norm.


And here I am suggesting things outside the box to kick start this state. What a waste of time. Keep at it, and more will start leaving again.

how good is he
Legendary Member!
Posts: 1118
Joined: Thu Jan 24, 2013 1:26 am
Has thanked: 1 time
Been thanked: 63 times

Re: SA Economy

#509 Post by how good is he » Mon May 11, 2020 11:17 am

Yes on one hand they announce big infrastructure spending etc and then on the other they increase taxes and cut services etc. So give with one hand and take with the other. Probably most Govt's & both sides will do the same though.

Nort
Legendary Member!
Posts: 1314
Joined: Tue Feb 09, 2010 2:08 pm
Has thanked: 297 times
Been thanked: 179 times

Re: SA Economy

#510 Post by Nort » Mon May 11, 2020 3:23 pm

SA wouldn't be a good location for SpaceX for a couple of reasons. They currently do a lot of US government business, and there are both legal considerations regarding ITAR and the fact that if they are doing more development work overseas they lose a lot of lobbying ability. The other reason is a practical one related to our geographical position. We're a long way from the equator, and Woomera is far in-land, both disadvantages when it comes to launching rockets. There also aren't the rail or canal links to Woomera for easily transporting large hardware. If you were tempting a company like SpaceX to set up operations in Australia, and could somehow get around the insurmountable political difficulties in that, then far north Queensland would be the best location.

That said, looking at that sort of scope and scale is the type of thing SA needs to be doing, but unfortunately the Federal Government has done lots to dismiss manufacturing here, and the State Government is extremely uncompetitive even compared to other Australian states.

Post Reply

Who is online

Users browsing this forum: No registered users and 3 guests