On 1July 2011, Minister Clare announced the following update to the Global Supply Chain Program.
Five multi-national Defence companies have signed a Global Supply Chain agreement with the Australian Government – Boeing, Raytheon, Thales, Eurocopter and Lockheed Martin.
Through these agreements, the Government funds multi-national Defence companies to hire a team of people to identify and certify Australian companies as part of their global supply chains.
Global Supply Chain Agreements are designed to outline the way a multinational Defence company engages and facilitates opportunities for Australian industry to compete for work in their supply chains.
The Government has invested more than $11 million in the program over the past three years.
When the program was established everyone agreed that if it could provide a 10-fold return on the Government’s investment it would be a roaring success.
To date it has delivered more than a 30-fold return on investment with more than $356 million in contracts awarded to Australian industry.
Australian SMEs have been the big winners, winning about 90 per cent of the value of these contracts.
The agreement signed with Boeing has led to more than $200 million worth of contracts to Australian companies.
The agreement signed with Raytheon has led to more than $100 million worth of contracts, and the remainder with Thales.
“In January Lockheed Martin also joined the program and with the awarding of the new naval combat helicopter contract, I’m hopeful we will see more work for Australian companies from the Global Supply Chain Program,” Mr Clare said.