Senator the Hon Tim Ayres

Minister for Industry and Innovation
Minister for Science

Launch of the Central Coast Food Manufacturing Innovation Hub

Interviewer
Launch remarks
Subject
Food manufacturing, Central Coast economy, education and training opportunities, manufacturing innovation, and multiculturalism.
E&OE

IAN HEMPHILL, CHAIRPERSON, CENTRAL COAST INDUSTRY CONNECT: One of the things that I'd really like to start with is to just impress upon everyone the incredible importance of manufacturing, which will be talked about further today. Manufacturing is something that takes raw materials, it takes human resources. Manufacturing has been happening for thousands of years, and it is manufacturing that makes countries and economies actually viable. Manufacturing is sustainable, it's resilient, and it's something that is so important to an area like the Central Coast.

Now, Central Coast Industry Connect, most of you probably know us pretty well, but what I would like to reiterate is that CCIC is an umbrella organisation for manufacturing industry. It's a not-for-profit organisation, and what we do is we relate between industry, cooperation, we communicate with government at all different levels, education. Really, it's part of the growth opportunities for the Central Coast and improving the fabric of lives for everybody here in this absolutely amazing location.

Manufacturing is of incredible importance to this region, and we mustn't forget that we have the second largest output in the region, which is $4.8 billion. That's the output of manufacturing. Food manufacturing accounts for $2 billion, and it is the second largest, with a value add of $1.4 billion. Manufacturing is the largest exporter out of this region, and it employs about 9,000 people. So, it is extremely important.

This hub, which has been in planning for so long – really the main thing that I really have to say at the beginning is that none of this would be happening without the incredible work that's been done by Frank Sammut. We all know how hard you work and what you've done with this, Frank. It's just amazing to be here now. So, to explain a little bit more about the hub, how we're not here, I will call on Frank to now take the microphone.

FRANK SAMMUT, EXECUTIVE DIRECTOR, CENTRAL COAST INDUSTRY CONNECT: Thanks, Ian, for those kind words. I can talk on this for three or four hours. I've got five minutes, so bear with me. I'm going to use some notes, because otherwise I'll just start wandering everywhere. But I will reiterate the importance of manufacturing for this region. Four-point-eight billion dollars, the second biggest output outside of construction. Construction ebbs and flows; manufacturing is consistent. We've grown $1 billion in output in the last 10 years. So, manufacturing is growing in this region, and we need to understand that and understand the importance of that.

Good morning to everybody, and welcome. It's a great pleasure to be here today to mark the opening of the Central Coast Food Manufacturing Innovation Hub – a commercially based facility that represents user vision, partnership and persistence, and a major step forward for the $2 billion food and beverage manufacturing sector on the Central Coast.

This journey started back in 2013. It’s been a slow process but it has made Central Coast Industry Connect a recognized peak manufacturing body for the region and the leader in the development of the food manufacturing sector. We have been fortunate to have our regional stakeholders and industry behind us: our food and beverage manufacturers, Regional Development Australia Central Coast, University of Newcastle, Business New South Wales, Central Coast Council, just to name a few. I also have to acknowledge the support of Food Innovation Australia, that provide a lot of support to us to get us off the ground in the early years of our food journey.

But governments also need to be behind you. To this point, I want to acknowledge the Member for Dobell, Emma McBride, and her staff, who've always supported CCIC and the work we do. She believed in us as an organisation and sought the opportunity for our region. She championed our business case for this Hub through her Party and it became an election commitment at the 2022 election, with a commitment of $17.14 million which materialised for the Central Coast Food Manufacturing Innovation Hub that we have been today. I also want to acknowledge the Minister for Industry and Innovation and Minister for Science, Senator Tim Ayres, who I know has been following our progress and has supported this initiative from the start.

The Hub project is designed to grow local food manufacturing businesses and establish the region as a major player in the national food processing industry. It's more than a building. It's more than just some equipment. It's levying these elements to drive collaboration, innovation, and skills development, technology, process improvement, and creating awareness of the food manufacturing sector.

The scope of the project involved three course stages. We established an infant skills hub using facilities at University of Newcastle and Regional Development Australia Central Coast, which we're very grateful for. We developed a non-accredited machine operators program based on industry feedback and best practices within Australia and abroad. Consequently, we put through eight [inaudible] through three and four day program and recently adapted the program for 60 high school students. All the received feedback was that it was a great success. The Hub building will expand our training opportunities, and I need to recognise the State Government for funding a lot of those programs. So, thank you for that.

The second issue was to build a Hub and provide spaces for food producers to scale up and accelerate their growth. Our architects took the concept that I had drawn up on a bit of paper and converted it to what you see here today, which is outstanding; eight spaces totalling 1,500 square metres of fully serviced food manufacturing spaces; a pilot facility; an office, and amenities area. In total, about 2,100 square meters. Thanks to our town planners interface planning, we put a shovel on the ground April last year, and by the end of March this year, construction was completed. This included taking into consideration nine weeks of wet weather. I cannot sing the praises of our construction managers [inaudible] enough to push the boundaries with their contractors to get the best prices and get the job done. We're grateful to Central Coast Council for providing the land we were on via a long-term lease. This was done pretty quickly. Our initial site at [inaudible] had fallen through, and with a very quick turnaround were able to get this site and get it up and running. So, I thank Council for that.

The third element of the project was establishment of that bio facility, which not only serves our training needs, but provides opportunities for staff at larger food manufacturers to develop products, produce product for test markets, and for supplies to demonstrate new ingredients or equipment. To this end, we've been able to secure other opportunities. I'm pleased to announce that we've entered into a supply agreement, and we've agreed to supply [inaudible], a global company that will provide support for our Hub manufacturing and hub users. I also want to announce that we've entered into a heads of agreement with two food manufacturers that will occupy space within our manufacturing units. The companies are a [inaudible] and local confection company for Marshmallows, who most of you would know. The heads of agreement is a precursor to a license to operate in one of our manufacturing units.

So, where to from here? We look to provide more learning opportunities for students at the University of Newcastle and TAFE New South Wales. We are expanding our operator programs from the original paving format to now include food processing and developing an advanced operator program that will include relevant accredited units.

We'll be adapting our programs for our non-food manufacturers. With further investment, we're looking to establish a cobalt facility, low-cost home screen robots that pack off and place product in containers, and great opportunities for small and medium-sized businesses to get into low-cost automation and prove their productivity and improve their cost base. And using our equipment to provide opportunities to upscale food waste is another great opportunity for us.

So, the journey continues. We haven't stopped. I want to acknowledge the CCIC board that has supported this vision and provided latitude for me and my team to get things done, and we have a saying in CCIC, we just get [things] done. We don't – whatever the barriers are there, we just push through, and that's the only way we can survive.

And to my team for delivering our vision and contributing to our strength of CCIC. Thank you very much. And again, thanks to the Australian Government for supporting this initiative and our regional stakeholders who encouraged them. Central Coast Industry Connect now has a home and it aims to make the Central Coast a food manufacturing destination, so thank you.

HEMPHILL: What an extraordinary effort it's all been. I would also now like to introduce the Hon. Emma McBride, Member for Dobell, Assistant Minister for Mental Health and Suicide Prevention and Assistant Minister for Rural and Regional Health, to explain the importance of this Hub investment in the region and the opportunities it creates. Thank you, Emma.

EMMA MCBRIDE MP, ASSISTANT MINISTER FOR MENTAL HEALTH AND SUICIDE PREVENTION, ASSISTANT MINISTER FOR RURAL AND REGIONAL HEALTH: Thank you, Ian. I am just incredibly proud to be here today in what is a really important day for the Central Coast, for our community, for manufacturing, for business.

Good morning, everyone, and thank you all for coming out today. What a day it is for the Central Coast. Before I begin, I'd like to acknowledge the traditional custodians of the land we're on today, to pay my respects to elders past and present. Thank you, Chris, for reminding us that the First Manufacturers were our First Nations people, and on songlines right here near Ourimbah.

To everyone who is part of today Central Coast Industry Connect. I remember when we had a first conversation about this more than seven years ago; your leadership has been extraordinary. To Ian, as the Chair, to everyone who's on the board of Central Coast Industry Connect, thank you, and congratulations. To the University of Newcastle and to Lindsay here today. To my state colleagues, to David Harrison, Minister of Central Coast, David Megan, the local member, Liesl Tesch. To the Mayor, who is just back from the World Cup, supporting our campaign. To the Regional Development Authority, to Business New South Wales Central Coast, to the CEO of Central Coast Council, David Farmer, to councillors, everyone here today. But especially to my colleague and friend, Industry Minister Tim Ayres, and Dr Gordon Reid. Thank you for investing in our community, for making this project come to fruition.

We've known for a long time that the Central Coast has the talent, the ideas, and today we have that now as our food manufacturing capability. What is often liked as being the place where local businesses can test, scale, and commercialise their products without having to leave the region. That's what this Hub delivers. That was the vision of Central Coast Industry Connect, supported by everybody here to deliver the manufacturing $4.8 billion output, $2 billion for food, $1.4 billion value add, employing more than 9,000 people. This is incredible for our local community.

And the opening of these doors behind us is a signal to the Central Coast that our government backs the Central Coast; that we back industry; that we back training; that we back research, and local jobs. And I'm just incredibly proud. The Central Coast already punches above its weight in food and beverage. I'm sure everyone walking in saw Sanitarium Up & Go, and the East Coast juice and water in the fridge. And what you might have noticed, they're also stocked at Parliament House now as well. They are. So the Central Coast from Canberra to the world, and that's what this project means. It really does.

And I'm particularly pleased to see the focus on collaboration. Bringing together manufacturers, researchers, training providers, industry experts under one roof creates unique opportunities that simply did not exist before. And what really excites me the most is that we're already seeing the benefits. I understand, the Hub has already supported local training initiatives, including 40 students through the doors before they're officially opened. And that's exactly the kind of outcome we want to see.

Because at the end of the day, projects like these aren't just about buildings, red ribbons – although they do matter, Tim. They're about people. They're about community, they're about local jobs and local opportunities. And to see this investment of more than $17 million from the Commonwealth bring this vision to life – the benefits will reach far beyond our community and far beyond today. During construction, more than 200 people have already worked on the project, and as the Hub reaches its full operation, it's exciting to see already two heads of agreement, right? And from a local company like Marshmallow Co and a Sydney-based company as well, will support growth and boost manufacturing in this region.

And the Central Coast has always been a place where good ideas result in great outcomes, and today is evidence of that. I think of my great-uncle, who was a dairy farmer in Tuggerah, and the strong tradition that so many people and families have connected to food and beverage and manufacturing in this region. So, congratulations, one and all, to everybody who has been part of this incredible project. I'm so proud to see the Central Coast leading the way, and I'm excited to see the businesses, products, and jobs that will come from this local Hub in the years to come. So, thank you and congratulations, one and all.

HEMPHILL: Thank you, Emma. Very important words indeed. Now, I'd like to call on Senator Tim Ayres, who has been really with us very much from the beginning. Thank you, and to focus in a little bit more about the importance of manufacturing and your support for us.

SENATOR TIM AYRES, MINISTER FOR INDUSTRY AND INNOVATION AND MINISTER FOR SCIENCE: Very good. Well, thank you very much, Ian. It's an absolute delight to be here with you all this morning. I'm going to try and acknowledge a few people, knowing full well as I embark upon that journey, that I will leave somebody out who will never forgive me.

But there are some remarkable people here. First of all, to Ian and Phil. The best of these kind of speeches are written like thumbnails with guitar as you're sitting in the chair, sort of at the front, trying to work out what it is that you might say. I knew that I knew Ian's face and his name. A little bit of quick research, and I was on top of Herbie Spices, which just says so much, I think, about what's happened in innovation in Australian food, and your contribution and to the way that Australians think about food preparation at home. It's a manufacturing success story, but it's a cultural story as well. So, thank you very much for your contribution.  

Frank Sammut- you can see Frank's passion and his commitment, and the esteem in which he's regarded by all of you here. I knew of Frank from a distance when I was a trade union official in the manufacturing industry, and his work as a senior leader in the Sara Lee business. It is a really good thing when people with Frank's experience bring it to bear, not in the just in the next job up the ladder, but in the community that they have lived in for 20 years. So, Frank, thank you very much for the contribution that you and your organisation have made.

Emma McBride, the Member for Dobell, I’ll say a little bit about you in a moment, Emma. But it's good to see good Dr Gordon Reid here too, the Member for Robertson.

At the state level, my friend Liesel Tesch, David Harris, David Mann, my old friend Belinda Neale, who I saw here, former local federal member, and Mayor Lawrie McKinna. This is a part of Australia that is really well served by its elected representatives. That is not something that can be taken for granted. It really, really matters to have a cohesive effective group of local members and local government representatives working for the community and working for business.

The unions who are here – Renee Delman from the AWU, Brad Pigeon from my old union, the AWMU, David Bliss from the SDA. You know, it is a reminder that we are going to make much more progress if we do it together: local government, local institutions, trade unions, business in regional economies. You can't afford to do things apart. You have to do them together. I know that those three organisations will work hand in glove with you for future opportunities, fighting for future investment, fixing things up, sorting things out, and working together in the national interest.

The University of Newcastle, represented here so capably by my friend Alex Zelinsky, and their role here, and the TAFEs’ role, is just going to be so important.

The welcome to country, I think, at the beginning of this reminds us a little bit of where we've been and where we're going, particularly in the food sector. So, thank you Chris for making that reference to the very long history of manufacturing and of trade that goes back many, many thousands of years. I get to have a kind of bird's eye view over what's going on in manufacturing and food manufacturing; one of the most important areas of future innovation and growth and investment and jobs in our sector will be in those indigenous food categories.

There is a lot of opportunity there; a lot of opportunity in Australia, and a lot of opportunity exporting to our region. If you travel in the region, you just get a sense of how much this is valued in the Pacific and Southeast Asia. Those products really offer future generations of young Australians jobs and business opportunities. From there, to thinking about the work that Ian has led, the innovations and the changes in the way that Australians consume food products, and how much has changed just over my lifetime.

There's been a little bit of pretty puerile national discussion about multiculturalism over the course of the last few weeks. It’s as if this is an idea that is a contest. I mean, we know, don't we, how much our lives have changed for the better, and how much innovation and opportunity that has offered Australian business, Australian workers. Just in that fragment of our national life, how much our food has changed. As somebody who grew up on a little cattle farm up in the north coast, our food has changed for the better. One of the things that makes this a real joy, I can tell you, is just seeing all of your happy, optimistic faces this morning, is the pride that you so obviously feel in this achievement, and the attachment that Australians have to having a capable, effective manufacturing sector.

What that means, obviously, in economic terms, 9,000 jobs locally here. All of that investment. All of that capacity for growth. But I think there's something more to this. Of course, we've been very focused since the Government was elected on those questions of resilience and building the sovereign capabilities that Australia needs. I've spent a very significant amount of time since I was appointed, dealing with those big foundational heavy industrial facilities that Australia needs. We need to be in copper smelting, not just exported copper ore. We have an end-to-end aluminium manufacturing capability in this country, and we can't afford to lose it. Very pleased to see the commitment that the New South Wales Government made around those questions on the weekend, securing the future of Australia's largest and youngest aluminium smelter. A really important capability. Our interventions in steel to make sure that we secure domestic steelmaking here in Australia, and that we're doing more than exporting iron ore products offshore.

So much of manufacturing sits outside those questions of national resilience and the capabilities that we must have in defence or industrial terms to secure our future. So much of manufacturing is what the Germans call their Mittelstand economy, you know, the middle economy. That's what this is. Innovators choosing to invest, choosing to grow, workers making the decision, young students making the decision, to come and work and study in manufacturing jobs.

That's not just an economic question. That is a question of pride, of an attachment to a set of national values and patriotism that says, you know, we can contribute to our communities, we can build families, we can make our economy stronger, we can build a better Australia by getting into Australian manufacturing. This place is going to do so much. It's going to do so much.

I was faintly aware of the election commitment, Ian and Peter, that the Prime Minister and Emma had made around this facility. I was appointed after 2022 in a junior and assistant ministerial role in the industry portfolio, and in the trade portfolio, and one of the first things that I was asked to do was to run my eyes over this election commitment after we're elected, after we’d made the $17 million commitment in the Central Coast: what on earth is going on here? And then somebody provided me with the press release that had Emma's name on it, and I said, I think I know what's going on here. Emma has seen the main chance that the opportunity of a Labor Government being elected, and you know this – in my view – would be a hard thing to get done in the normal processes. But in an election campaign, you know, you do get to make these commitments. I ran my eye over it, and we've been moving along ever since.

I did watch the disappointment and the apprehension when the Lisarow facility fell through, but I have never been surer that this is the right thing to do than I have been this morning, looking out at you all, knowing that you're going to back this. That's why I say, having someone like Emma McBride see the main chance for her community in this region and secure that commitment, and then drive it through government – every time Emma's arrived in my office, she's not there for a cup of tea. She's there to follow me about, you know, asking how we're going with delivery on this. She has been utterly determined on these questions.

This is a real achievement for you all, for you all. But it is a real achievement for her, and I'm really grateful for the way that she's pushed along. It's going to make the Central Coast stronger, but it's also going to make Australia stronger. It's going to give young businesses opportunities; it's going to give young Australians and young Central Coast kids opportunities that they otherwise never would have had. I'm absolutely delighted to be here today. Utterly conscious that really this is your achievement, and I'm so grateful for all of your work. 

You were reading: Launch of the Central Coast Food Manufacturing Innovation Hub from Senator the Hon Tim Ayres.