NSW Government: Ban on ’Made in China’
June 17th, 2009
The Australian Government will be borrowing heavily from China to support the massive Federal deficit, but New South Wales is fighting back, announcing a ban on ‘Made in China’ products.
In fact, the State Government has announced that all $4 billion worth of government goods and services for agencies and State-Owned Corporations are to give preference to Australian-made, under the Local Jobs First plan.
This is a coup for around 500,000 NSW suppliers who previously had to compete on government contracts with cheaper goods from overseas.
“This plan tips the balance in favour of local businesses, providing them with greater opportunities to expand and sell to government,” says NSW Treasurer Eric Roozendaal.
The plan ensures that local manufacturers will be given ‘price preference’ in tenders; meaning that ’locally-made’ will automatically receive a 20 per cent discount on their price when being considered against overseas-sourced goods and services.
Previously only available to businesses of up to 200 workers, the price preference will now be extended to include those with up to 500.
The reforms also include a requirement for tenders over $4 million to produce an “industry participation plan” – outlining benefits for local jobs, suppliers and industry.
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