What Tasmania does best …

“The CommSec State of the States report (CommSec home here, and Mercury report here) serves to underline how critical it is for the Tasmanian Government to free up the strictures on farmers, still a key economic driver of the economy,” Tasmanian Farmers and Graziers Association chief executive Jan Davis said today.

“CommSec found that in many areas the economy was underperforming yet agriculture marches on,” she said.

“It is evidence of Tasmania doing what it does best.

“The irrigation roll-out will enhance our performance.

“The last thing we need is more red tape or green tape to inhibit this vital and vibrant sector of Tasmania’s economy.”

• RESPONSE TO COMMSEC REPORT
State Government Stimulus Not the Answer

Tim Morris MP
Greens Treasury Spokesperson
Monday, 23 April 2012

The Tasmanian Greens today said State Government stimulus spending would not be a panacea for the current challenges facing the state’s economy.

Greens Treasury spokesperson Tim Morris MP said that the economic growth challenges identified in the CommSec State of the States report were not a surprise given the fundamental and long-term economic shift taking place in right now Tasmania.

“Right now is not the time to be incurring unsustainable debt by allocating scarce State Government revenue to stimulus funding,” Mr Morris said.

“One of the reasons Tasmania is in this position is that previous governments have used state funding prop up unsustainable private industries, which has only delayed the inevitable transition of the state’s economy.”

“State revenue has slowed down because of the global financial crisis, and what we’re seeing as a result is that many government-subsidised businesses are no longer viable, and the state cannot afford to prop them up as it has in the past.”

“Growth is slow right now, but there’s been a significant increase in equipment purchases and that will translate into economic activity further down the track.”

“There’s no reason for feeling gloomy about the future, particularly given the strong investment we’re seeing in things like agriculture and the National Broadband Network.”