Support for regional cottage industries (A/Min)

Cottage industries will receive financial and technical support from the State Government to encourage the development of new products and economic diversification in regional towns.

The initiative, outlined last week in the Premier's Economic Development Statement, will stimulate investment and boost employment opportunities.

Acting State Development Minister Gordon Hill said regional centres particularly could be stimulated by encouraging the development of cottage industries to broaden their economic base.

"Many country towns suffer from a lack of economic diversity which makes them vulnerable to the fortunes of sometimes a single industry," Mr Hill said.

"Under the strategy, the Department of State Development has been asked to identify, develop and market cottage industries through the provision of financial and technical support."

Mr Hill said there were significant opportunities for the creation and marketing of products derived from indigenous materials such as wood, wool, stone and leather.

"Artists, designers and craftspeople have the capacity to add significantly to the raw value of the State's resources," he said.

"For example, an Argyle diamond marketed as designer jewellery is far more valuable on the export or domestic market than a raw stone.

"The Fine Wood Industry Project, based in Manjimup, is a successful model which links cottage-based enterprises through a consortium to address marketing, training, and quality of product design.

"I am sure this consortium approach could also be appropriate for other products."

Mr Hill said that by developing cottage industries many towns could broaden their economic base and increase employment and tourism opportunities.