Launch of major study of WA's country development prospects

30/4/96

All Western Australia's regions are expected to experience economic and population growth into the next century, according to Regional Development Minister Hendy Cowan.

However, the real potential of regional areas will only be fulfilled if local economies can be further diversified, key infrastructure such as roads and airports improved, and regions provided with community services to the highest standard possible.

Mr Cowan was commenting at the launch of a major new study of WA's country development prospects called Regional Futures: Challenges and Opportunities for Western Australia's Regions.

The report was initiated by the Regional Development Council and written by the Council and the State Government's Department of Commerce and Trade.

The council is the peak regional development advisory body to the Minister and is made up of the nine Regional Development Commission chairpersons and the Department of Commerce and Trade.

The Minister said the report highlighted the tremendous economic contribution currently being made by non-metropolitan WA to both the State and the nation.

The 480,000 regional residents make up only one quarter of the State's population but contribute 68 per cent of the State's exports and 18 per cent of the nation's exports.

However, a great deal of work needed to be done if development commissions, other key regional organisations and the State Government were to maximise growth prospects over the next 15 years or so.

During these years, according to the report, WA and its regions should be well-placed to take advantage of trade opportunities offered by the growth in Asian economies.

Mr Cowan said that while the drivers of economic growth varied from region to region, there were some strong prospects for further mining developments, mineral processing, tourism, aquaculture, and the diversification of broadacre farming, particularly through horticulture and plantation forestry development.

"There are many differences between WA's nine regions and their economies and these differences are recognised in the report," he said.

"However, there are a few common themes. For instance, all regions are seeking to diversify their economies and to reduce their reliance on primary industry sectors. While mineral processing prospects are strong in some regions, much hard work needs to be done to establish outside Perth some new substantial industries processing or value adding to agricultural produce.

"A second theme identified by commissions in the report is the need to find ways of funding major infrastructure items essential for each region's growth.

"Commissions identified the need for the upgrading of seaports, airports, roads and the provision of industrial estates. Many regions need to establish new sources of water supplies if they are to take advantage of opportunities in, for example, intensive agriculture.

"The provision of key infrastructure in coming years is a vital matter for regional development and one which I would like to see some positive new approaches developed in the short term.

"The State and Federal governments and the private sector must all play a role and, as a matter of priority, find the means to fund the physical infrastructure required to allow the regions to grow."

Mr Cowan said there was also a need to make country life as attractive as possible to new and existing residents through the provision of quality housing, education and health facilities and communication services.

"This is an important role for the regional development arm of government," he said.

"We must strive to ensure that regional residents, who are first class providers to the nation's economy, are not second class citizens in terms of services and quality of life."

Mr Cowan said that in the wake of the Regional Futures report, each development commission was preparing economic development strategies to be released later this year.

For a copy of the report, contact Mark Hainsworth or Pam Edmondson in the Regional Development and Infrastructure Division of Commerce and Trade on 327 5666.

Media contact: Peter Jackson 222 9595