| The Economy |
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Eyre Peninsula is one of South Australia’s most productive regions generating an estimated $2.4 billion in revenue annually. The region is highly export oriented with around $1.76 billion of its products being sent to various overseas markets.
The region’s economy relies on its agriculture, aquaculture, fishing, tourism and mining industries. While the agricultural and fishing sectors are well established, aquaculture and tourism have developed more recently as major sources of employment and revenue for regional communities. The City of Whyalla is unique having a substantial industrial base, which is focussed on its mining, engineering and steel production facilities.
The region has many competitive advantages including well established industries, significant export and domestic growth opportunities, magnificent natural resources, vibrant communities and a quality lifestyle second to none.
Existing Key Sectors
Key Growth Sectors
MANUFACTURING
Whyalla is the principle centre for steel production and resource processing activity within the region. The industry contributes approximately $341million to the State’s gross regional product.
In recent years steel making at Whyalla has increased significantly from 460 thousand tonnes to a current rate of 1.1 million tonnes per annum. The sector employs 3,331 people accounting for 13.5% of regional employment.
An extensive manufacturing base of engineering, construction, and fabrication servicesunderpin a vibrant resource processing industry in the region.
The proposed expansion of Olympic Dam, Prominent Hill and the establishment of other new mining operations in the northern areas of the state will have an immediate impact on Whyalla as the key industrial centre of the region. Good opportunity will exist for the further development of the city’s manufacturing and resources processing sector.
AGRICULTURE
The region’s agriculture industry produces more than 45% of South Australia’s wheat crop and 20% of the barley crop. The average annual volume of this crop (all grains) is currently 2.2 million tonnes (mt). The industry is reliant on seasonal conditions and, when the climate is conducive to healthy crops, the total value of the agriculture industry exceeds $450 million.
Grain export volumes account for an average of 97% of Eyre Peninsula’s annual wheat, barley, and legume production. The region is renowned for its high quality premium grains, particularly high protein wheat, malting barley varieties and milling oats.
The rising value of livestock has rejuvenated interest in the sheep industry and in recent years there has been significant reinvestment into meat and wool.
Agriculture, forestry and fishing is the largest sector in terms of employment on Eyre Peninsula, accounting for 20.6% of regional employment. The industry employs around 5,070 people in businesses throughout the region.
MINING
Eyre Peninsula is located within the mineral provinces known as the Gawler Craton and the Eucla Basin. The region has the largest deposit of gypsum in the Southern Hemisphere, significant iron ore resources and an emerging world class heavy mineral sands province. Established commodities already being mined include;
The region’s existing mining operations collectively contribute $159 million to the gross state product. However, this figure will grow significantly in coming years as new mining operations are established.
The region is widely recognised as one of the most exciting new frontiers for mineral wealth in Australia, with significant exploration activity continuing to occur throughout the region. Investment into exploration within the Gawler Craton has reached $246.5 million in recent years. To date exploration activity in the region has revealed exciting opportunities for the development of world class resource developments in heavy mineral sands, iron ore, gold, silver, kaolin, uranium and nickel.
FISHING & AQUACULTURE
The commercial fishing and aquaculture industry accounts for approximately 77 per cent of South Australia’s seafood produce.
The industry is highly trade focused exporting over 80 % of seafood produce from the region. Most of these products find their way into markets in New Zealand, Asia, Europe, the Middle East and USA.
Each year the direct output of aquaculture injects around $277 million into the regional economy and employs 1800 people across Eyre Peninsula, with tuna farming and oyster growing being the largest employers.
Growth sectors in aquaculture are predicted to be marine finfish, mussels, abalone, oysters and tuna. Eyre Peninsula is developing a world class reputation for its high quality range of premium seafood in both domestic and international markets. This reputation has been built on sound environmental management, sustainability and entrepreneurship.
In a major marketing initiative, Eyre Peninsula is currently developing a generic regional food brand under the banner of Eyre Peninsula – Australia’s Seafood Frontier, to differentiate the regional seafood product as world’s best quality.
TOURISM
Tourism is one of the region’s key growth industries, with a rapidly growing reputation for its unique and diverse range of nature based visitor experiences and premium seafood products.
The region accounts for more total (domestic plus international) visitor nights than any other tourism area in the State (except for Adelaide). It also has a longer average length of stay for domestic visitors than any other SA region.
From an economic perspective tourism is an important sector in the Eyre Peninsula with it contributing an estimated $261 million to the region’s economy. Around 2000 people are directly employed in the sector in the region, representing 15 per cent of total regional employment.
Eyre Peninsula is unique with world class tourism experiences wether viewing whales from the cliff tops of head of the bight, snorkelling or diving amongst cuttlefish, sea lions dolphins, southern blue fin tuna and for the adventurous cage diving with the great white sharks.
To the northern region the rugged Gawler Ranges provides an outback experience for bushwalkers and campers to explore the ancient landscapes.
COMMERCE AND RETAIL
The level of regional shopping facilities and other commercial services across the region is extensive, with the people of Eyre Peninsula well served with a comprehensive choice of retail, trade, finance and service sectors.
The Cities of Port Lincoln and Whyalla are bustling regional centres, boasting major supermarkets, a broad range of specialist retail outlets, banking and commerce, professional services, tourist operations, hotels and restaurants, automotive, trades and services and broad range of recreational facilities. There is also excellent facilities for health and education, as well as a number of Government agencies, both State and Commonwealth.
In the west, Ceduna boasts a comprehensive commercial centre, comprising of a broad range of retail, finance, service, tourist, automotive and trade outlets. It is also the centre for a number of Government agencies both State and Commonwealth.
The smaller rural centres of Tumby Bay, Streaky Bay, Cummins, Wudinna, Kimba, Lock, Cleve and Cowell all have well developed shopping and agricultural service precincts.
Perishables not produced on Eyre Peninsula, are freighted in by road from Adelaide in refrigerated vans, entailing a road journey of between 6 to 8 hours.
All of the national banking groups (National Australia Bank, Australia and New Zealand Banking Group, Commonwealth Bank, Westpac Bank and Bank of South Australia) have branches on Eyre Peninsula. The community based Bendigo Bank has an presence in Port Lincoln, Cummins and Tumby Bay with an agency in Wudinna.
Most major insurance companies are represented through agencies or brokers.
Eyre Peninsula is well served by a wide range of accountants, financial planners, legal practitioners, investment and finance brokers, insurance agents, employment services and credit unions.
BUILDING AND CONSTRUCTION
The demand for commercial and coastal property has continued to rise in recent years resulting in a number of major construction projects that complement the region’s growth and ensure its competitiveness into the future.
Increased activity in the Eyre Peninsula mining sector should witness a number of significant infrastructure projects, ensuring leverage benefits to rural communities in the decade ahead.
Although Eyre Peninsula has witnessed significant building and investment activity, this phenomenon will continue as the demand for retirement, lifestyle choice and holiday and recreational investment continues to grow.
The natural advantages of a spectacular coastline, great fishing, relaxed lifestyle, mild climate and affordability makes Eyre Peninsula a prime target for sea change.
FUTURE DIRECTION
The Whyalla and Eyre Peninsula region is well positioned to facilitate and support a diverse range of significant developments. The region’s economy is diverse with world-leading companies in agriculture, manufacturing, aquaculture, commercial fishing, industry research, renewable energy, mining and tourism.
Renewable energy initiatives including energy generation, energy storage systems and water desalination will further enhance the region’s competitiveness, which is due to our natural key advantages of a pristine environment, large geographic area and high energy coastline.
Into the future the economy will continue to flourish with the advent of a number of mining developments in the region’s Eucla Basin and Gawler Craton. The emergence of the resources sector is also a key catalyst for a number of major projects in the region. These projects will bring tangible long term benefits by further strengthening local industries and driving sustainable economic growth well into the future.
World class education and research facilities are located in the region. Industry based research is already conducted in the region with innovative research, extension programs, and demonstration projects being undertaken at the Minnipa Agriculture Centre and the Port Lincoln Marine Science Centre. Into the future these facilities have a vital role to play underpinning the region’s capacity to deal with the challenges of climate variability and environmental sustainability. The provision of higher education facilities will increase the region’s capacity to create new knowledge and find new ways of doing business, which is pivotal to building a sustainable economy based on advanced skills and technologies.
Communities on Eyre Peninsula are committed to strong and sustainable economic growth to ensure that future opportunities are fully realised and that the region is enhanced as an attractive destination for productive long term investment.
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