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Non-Subscriber Extract

Keeping defence spending in-country is a top priority for Australia's new government

By Jon Grevatt

03 December 2007

Joel Fitzgibbon has been named as Australia's new defence minister and will focus on ensuring that that "as much of the [Australian] defence budget as possible is spent in Australia", according to the Australian Labor Party's (ALP) defence policy.

The ALP won the general election in Australia on 24 November, with leader Kevin Rudd becoming the country's new prime minister. Fitzgibbon, former shadow defence minister, kept hold of his portfolio and was named in Rudd's new cabinet on 29 November.

As well as a highly publicised policy of withdrawing Australian troops from Iraq, the ALP also aims, according to its policy document 'Labor's Plan for Defence', to involve Australian defence industries to the "greatest extent possible".

The policy states: "A Rudd Labor government will ensure that as much of the defence budget as possible is spent in Australia. Labor will emphasise preference for Australian content and require tenderers to develop detailed strategies for involving Australian industry to the greatest extent possible."

The policy states that the ALP intends to highlight Australian defence industry involvement in military acquisition projects on a yearly basis. "To ensure that Australians receive maximum benefits from their spending on defence, a Rudd Labor government will introduce new reporting obligations on defence to include in its annual report a specific section outlining Australian involvement in major equipment acquisition projects," it says.

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© 2007 Jane's Information Group

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