Investing in SA

winning ways

Defence

South Australia is Australia’s defence state and the high-technology centre for the nation’s defence industry.

It has a strong focus on naval shipbuilding, land force modernisation, intelligence/surveillance/reconnaissance, complex military systems, electronic warfare and precision manufacturing.

Our defence capability is underpinned by the presence of the Defence Science and Technology Organisation (DSTO) and three traditional universities now augmented by Carnegie Mellon University, Cranfield University and a strong vocational education provider in TAFESA.

Companies based in South Australia regularly win national defence contracts for new equipment and systems upgrades.

Major defence companies in Adelaide include ASC, BAE Systems, Navantia, General Dynamics Land Systems – Australia, Surveillance Australia, Raytheon Australia, RLM, and Saab Systems.

Investors have the opportunity to participate in more than $10 billion worth of defence contracts, including the:

  • $8 billion Air Warfare Destroyer Contract;
  • 10-year $1 billion deal to maintain and upgrade the AP-3C Orion aircraft fleet;
  • multi-billion dollar contract for Collins class submarine through-life support;
  • relocation of Australia’s new Mechanised Battalion Group to Adelaide, capital construction commencing in late 2008.

Output

  • The defence industry generated $1.08 billion Gross Value Added in 2002-03.1
  • South Australian firms win 30% of the Australian defence capital budget.2

Employment

  • 11,135 jobs in the industry in 2007, with 13,383 created indirectly.3

Workforce Information Service

Number of businesses

  • More than 200 prime contractors and small-to-medium enterprises.4

Research and development

  • Home to University of Adelaide, University of South Australia and Flinders University and the Centre of Excellence in Defence and Industry Systems Capability.

Geographic focus

  • Most defence companies are located in one of Adelaide’s three distinct defence precincts at Technology Park Mawson Lakes, Edinburgh Parks or Techport Australia.
  • Largest land range in the world at the Woomera test and evaluation facility for long-range missiles and rockets.

Case studies

Australian Submarine Corporation
Saab Systems
Pacific Marine Batteries

Industry groups

Defence Teaming Centre
Electronic Industry Association

 

1. South Australian Government commissioned research.

2. Government of South Australia, South Australia: the Defence Industry Choice, www.southaustralia.biz/library/SouthAustraliaTheDefenceIndustryChoice.pdf

3. Government of South Australia, South Australia’s Strategic Plan: Progress Report, 2008, www.saplan.org.au/content/view/151/182/

4. Defence Teaming Centre, membership list, www.dtc.org.au