Mining’s on the money

THE Australian mining industry continues to be the major recipient of foreign investment, according to a recent survey by the Australian Bureau of Statistics (ABS).

Foreign investment in the mining industry totalled $65.9 billion in 2000-01, accounting for nearly 8 per cent of all foreign investment in Australia and nearly half of the total mining industry’s value (45 per cent), the ABS report says.

In 2000-01, 48 per cent of all mining industry assets were owned by foreign businesses, which employed 28 per cent of the workforce and produced 45 per cent of “industry value added”.

The US was the biggest foreign owner in Australia with 60 US mining businesses in Australia (4 per cent of all mining businesses), employing about 6,400 workers and investing about $1.4 billion.

Residents of Japan owned 40 businesses and UK residents owned 21.

Despite the difference in numbers of businesses owned, UK businesses employed almost the same number of employees as US-owned companies.

US-owned businesses contributed 19 per cent of industry value added, followed by Japan, South Africa, Canada and the UK.

Behind the US in terms of investment was Japan, then South Africa, Canada and the UK.

Foreign-owned businesses also played important roles in the manufacturing and wholesale industries, contributing 34 per cent and 31 per cent of industry value added respectively.