Centre of Excellence a model for food manufacturing innovation

The Australian Food and Grocery Council (AFGC) has extended congratulations to Kraft and the Victorian Government on the official opening of Stage One of the Kraft Foods Asia-Pacific Centre of Excellence.

Gary Dawson, CEO of the AFGC, said the Ringwood-based Centre of Excellence provides a model for food manufacturing innovation that will enhance industry competitiveness and bolster manufacturers’ capacity to take advantage of export opportunities, particularly in Asian markets.

“Innovation is of critical importance to Australia’s $110 billion food and grocery manufacturing industry,” Dawson said. “This important investment by one of the most significant global food-manufacturing companies underlines Australia’s potential to become a major manufacturing hub for the Asian Century.

“Through the Centre of Excellence Kraft aims to create a catalyst for the development of innovative new products and processes for the Australian and Asian markets.”

The Centre of Excellence aims to enhance collaboration between the food industry, research agencies and both large and small companies in the food manufacturing sector, unlocking the innovative capacity of Australia’s advanced food manufacturing sector.

Dawson noted that, while industry continues to invest heavily in capital expenditure and R&D, significantly more needs to be invested to capitalise on Australia’s comparative advantages in food production.

“In 2009-10 industry spent $466.7 million which was consistent with a three-year trend of R&D growth. Governments have key roles to play in setting policies that enhance industry competitiveness by encouraging innovation, R&D and business operations.

“Innovation is at the heart of the industry’s vision for a competitive future and it maintains a huge potential for growth into Asia. Governments can back the innovative capacity of Australian food and grocery manufacturers by easing the regulatory burden and through R&D tax incentives and accelerated capital depreciation to maintain and enhance the industry’s competitiveness.”