Above: Charles Watson GM of IR, Policy and Governance, VMA
The Visual Media Association (VMA) says the 2024 Federal Budget offers little to drive investment or productivity for the printing sector.
It says only a few of the issues it raised were partially addressed leading to and at this year’s Budget.
The VMA sought various measures in this Budget including a review of the instant asset write-off scheme; efforts to tackle skills and worker shortages; greater support for improved educational and training outcomes as well as real business incentivisation measures, improvements to the tax system and an appropriately articulated approach to productivity.
CEO Visual Media Association, Kellie Northwood said the VMA supports a priority in policy to local manufacturing and small business support, but this Budget doesn’t offer nearly enough.
“Whilst appreciating the instant write off being extended it is such a moderate figure (less than $20,090 to eligible assets) that it is unhelpful for our industry. A more substantial amount to support larger manufacturing capital expenditure or renewable energy investment support, rather than a $325 rebate, are two examples that would genuinely assist, not only our industry, but all larger manufacturing sectors.
“Skilled labour too remains a significant success inhibitor, however little focus or support was addressed last night. The budget in this regard has left manufacturers, and therefore printers, wanting,” commented Northwood.
Charles Watson, GM of IR, Policy and Governance at the VMA said on balance this budget does little to assist businesses outside the energy sector or to push national productivity and growth generally.
However, he says it appears clever enough to minimise the likelihood for this budget to increase inflation as a result of government spending, at least in the short term.
“As a result of this budget, it appears the government is resting its credentials, and its future at the polls, on inflation falling and a resulting interest rate cut, before next year’s election is announced. If this bet fails, they are going to have to own the result,” said Watson.
Education and Skills
On Education and Skills Watson said the announced measures are welcomed, but in the short term they won’t address the underlying complex web of educational ecologies or the underfunding that created the current shortage of VET teachers, infrastructure, and apprentices.
“Any real and systemic improvements are still some years away and subject to any outcomes from the strategic review of the apprenticeship system that is currently underway,” said Watson.
Future Made in Australia
Watson said The Future Made in Australia policy and spending announcements aimed at industries including renewable hydrogen, green metals, low carbon liquid fuels and others is too vague and overbalanced on addressing the energy sector.
“Significant fuzziness on the exact nature of the governments Future Made in Australia program remains and greater specificity is required. After many years of Australia’s over-reliance on the importation of cheaply made and inferior quality goods, it seems government has recognised Australia needs sovereign manufacturing. However, let’s hope this is not a diversion of government funding away from other potentially more beneficial programs for the Australian economy,” said Watson.
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