TFIA takes issues to the top
CANBERRA: Hopes for the future of onshore textile and fashion manufacturing have been reignited following a House of Representatives hearing earlier this month.
Members and executives of peak industry body the Textile and Fashion Industries Council of Australia (TFIA) appeared before the House of Representatives Economics Committee in Canberra on February 8 as part of an inquiry into Australia's manufactured export and import competing base.
Among the points raised was the contentious issue of outworkers, which has seen the Textile Clothing and Footwear Union of Australia (TCFUA) and businesses at loggerheads for many months over how best to protect outworkers without crippling businesses.
House of Representatives Standing Committee on Economics, Finance and Public Administration Chair the Hon Bruce Baird MP said the protection of outworkers - which many manufacturers and fashion houses claim requires onerous compliance measures - would be examined in detail as a result of the meeting.
"We were certainly not aware of the complexities and difficulties surrounding this issue until the hearing," he confirmed.
TFIA executive director Ashley Van Krieken, who described the meeting as a "fair hearing", said other key points raised at the hearing concerned financial and strategic support for the industry.
"Firstly we noted that the [government support in the form of] post-2005 SIP (Strategic Investment Program) is working well and should not be modified. There are also other issues relating to the general economy that need looking at, for example the skills shortage, which could be addressed through measures to reduce the HECS [Higher Education Contribution Scheme] fees for students entering manufacturing. Tax concessions for research and development investment could also be extended to the area of training."
The TFIA had also raised concerns that government procurement frequently favoured overseas over onshore suppliers, he said.
"The evidence is that procurement officers are very focused on price when purchasing [apparel] for government. However, price should not be the only factor. There needs to be adequate training for procurement officers so they are making properly informed decisions. I could go to China and find a fantastic price for a particular garment, but there are also quality issues and other risks of supply in such purchases."
A draft report from the hearing would be released by mid-year, followed by a period of comment, after which the final report would be released with a view to effecting appropriate policy changes, Van Krieken confirmed.