Background
Local Government has an important role to play in economic development with the ability to influence and coordinate the many and various drivers of economic growth. Local Government may act as advocate, facilitator, investigator, planner and service provider enabling market forces to operate in an environment which considers the needs and desires of all citizens.
The Tamworth Regional Council area plays a pivotal role in the economic development of the NSW economy with Tamworth being the largest regional centre in the New England-North West. In order to maintain our recent growth and capitalise on new opportunities, Tamworth Regional Council has produced a Strengths, Weaknesses, Opportunities and Threats (SWOT) analysis as a tool to identify and assess the Region’s strategic assets and potential opportunities for future innovation, diversification and “Smart Growth”.
The SWOT analysis identified seven key sectors as the essential drivers of our Regional economy. The contributions made by these sectors to our GRP (Gross Regional Product) are substantial and by no means static. Each of these sectors is experiencing positive growth reinforcing our competitive advantage as one of the most diverse, dynamic and dominant Regions in NSW.
The SWOT analysis is the first stage of a comprehensive Regional Economic Development Program (REDP) which will provide a platform for the strategic co-ordination of resources and planning for the next 10 to 15 years. Sustainable economic growth which considers the unique environmental, economic and social challenges facing inland growth centres such as Tamworth will be central to the Program, providing the Region with the information necessary to embrace a sustainable future.
It is anticipated that the staged release of this program will provide the region’s industries, businesses and residents with a series of relevant, informative and insightful documents for business planning and/or educational purposes.
Stage I of the REDP – SWOT Analysis
The SWOT analysis is intended to capture a “bird’s eye view” of our regional economy, identifying possible constraints and/or opportunities for further growth. The SWOT analysis targeted seven key industry sectors considered to be the main drivers of our economy. The key sectors identified are:
This information helps us to understand the contribution each industry makes to our overall prosperity and provides essential information regarding threats to further growth as well as potential development constraints.
The SWOT analysis also helps us to understand the connections between industries and their inter-dependence.
For full details download the SWOT analysis Final Report, a summary of some key data resulting from the SWOT is provided below:
- the regional economy recorded a Gross Regional Product (GRP) of $2.1 billion in 2006-2007 up 3.1% on the previous year (05-06)
- the top employment industry in the region is retail at 16.6%
- the fastest growing sector in the regional economy is education - 13% growth (2006-07) contributing $130 million to GRP (2006-07)
- mining contributes $24 million to the GRP — employment share in the mining sector has risen by 162% in the period 2001-2006
- the transport and storage sector contributes $87 million to GRP. Employment share of the regional economy is considerable and increasing.
- the Tamworth region accounts for 39.8% of accommodation takings in the New England North West Region - exceeding current growth trends
- Tamworth regional air passenger numbers have experienced a growth rate of 6.0% in the period 2002-2003 to 2006-2007
- the contribution of the Australian Equine and Livestock Events Centre (AELEC) to the regional economy is estimated to be in the vicinity of $17 million per annum
Stage II of the REDP – Sector-specific Economic Development Strategies
Stage II of the REDP is now complete and comprises sector-specific Economic Development Strategies targeting the following three key sectors:
- Services (incorporating transport and distribution)
- Food processing
- Education
It is intended that the strategy will provide the relevant industry participants, and the wider community, with an important reference tool for understanding the ongoing development of these key sectors as well as identifying the potential for further growth. Council, in it's role as economic development facilitator has an important part to play in ensuring the regional economy continues to go from strength to strength and this is reflected in the recommendations and associated actions arising from the analysis undertaken to complete Stage II.
Stage III of the Regional Economic Development Program will involve further sector-specific analysis in the following sector in the coming months:
- Equine
- Health and Community Services
Planning for Stage III has commenced and is completion is anticipated for early 2011.
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