From The Economist: A new generation of farm equipment factories is under construction in Australia, but the technology used to make them has been decades in the making.
The Australian Industrial Equipment Association (AIIA) says its new modular farm equipment facility will be the world’s largest modular manufacturing facility, with the potential to produce up to 1 million modules a year.
This will allow manufacturers to tailor their equipment to specific industries, with a focus on food production, mining and energy.
The facility will build on an existing farm equipment plant at the Wollongong Port in NSW and build on the AIIA’s recent announcement of a $30 million grant to develop the technology.
The factory will be located in Wollongs, a suburb of Wollondilly, on the southern edge of the state, just south of the Gold Coast.
The AIIB will also provide an industrial research and development centre for the facility.
The project will be built with $10 million in federal and state government funding and will cost up to $25 million.
The farm equipment industry is rapidly expanding and is expected to grow by more than a third to $10 billion in 2020.
According to the AIA, more than half of all the farm equipment manufacturing in the world is now in the US, Germany, China and the UK.
“We are looking at developing our own modular farm infrastructure, where we can use technology from the industrial farm, and then we can integrate that into the manufacturing process,” AIA chairman John Davenport told the Australian Financial Review.
In terms of its future plans, Davenports said the farm gear manufacturing sector would grow by about 25 per cent to $5.2 billion by 2020, and by 30 per cent by 2025. “
A lot of the technology is in the field of industrial agriculture and manufacturing, so this is a really exciting opportunity.”
In terms of its future plans, Davenports said the farm gear manufacturing sector would grow by about 25 per cent to $5.2 billion by 2020, and by 30 per cent by 2025.
The new factory will not be an assembly plant, but rather will house a series of large industrial equipment workshops, and will house an entire range of equipment.
It is expected that it will be open for about four years before it is fully operational.