Forward-thinking local and interstate businesses are making strategic use of the current downturn in the Far North’s economy to plan for the long term and diversify the region’s mining and manufacturing sectors.

Advance Cairns is currently in talks with a local mining contractor to facilitate plans to import raw product for manufacture at a purpose built plant at a site yet to be selected in North Queensland. The raw product would be imported via sea freight from Europe, thus providing additional import opportunities to the Cairns Port and potentially Mourilyan Harbour in the long term.

While still in its concept stage, the plant is expected to generate employment in the region and stimulate the local economy by providing a more cost-effective product for the mining sector, and consistency of service not hindered by interstate transport delays.

The region’s peak economic development agency has also met with a Western Australian communications company which has chosen Cairns as the base for its new East coast operations, servicing the mining/resource sector and local defence industry. The Astib Group, which is a combination of technology-driven Australian based companies that provide wireless, two-way radio and IP-based technology solutions to industry, government and commercial organisations, has established its first Queensland office in Cairns with two staff already employed locally and recruiting continuing this week for up to 15 positions. Managing Director Bob Sofoulis said he expected staff levels to increase and become self sufficient by the end of February.

Local recruitment firm Precruitment is assisting Astib fill its entire staffing requirements.

Mr Sofoulis said Cairns was a logical choice for a number of reasons. “One of our major clients requested a presence in Cairns to support their operations, and it is a central location for the Far North Queensland resource sector with ample flights in and out of Cairns.”

Advance Cairns CEO Ross Contarino said it was encouraging to see the commitment of these businesses to rise above the ‘doom and gloom’ and have the foresight to plan for a stronger regional economy. “It does not pay to dwell on the negatives, rather we must take a good look at the opportunities that are right under our noses and be diligent with them,” Mr Contarino said.

He said that despite the economic slump, it was imperative for the long term economic viability of the region to take the ‘glass half full’ approach rather than lament the tough times. “Business confidence on a global sense has been rocked in recent times, and this is compounded locally by decisions made by our airline carriers, and a recent downturn in the mining sector,” he said. “But if we sit back and do nothing there is a very real danger of the local economy falling into a malaise from which it will be difficult to emerge.”

On another positive note, Advance Cairns has been working closely with a prominent Cairns shipbuilder in its tender for a sub-contract as part of an $8 billion defence project to build three Hobart-class destroyers as part of the Air Warfare Destroyer construction program. AIMTEK (formerly NQEA) was invited to submit a tender for a $300 million component of the project, with a term of five years. The contracts are expected to be awarded later this month.

Tags: Advance Cairns, diversify, economy, mining

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