The state government’s proposed South West integrated furniture precinct is close to being realised, with a feasibility study into the project due to be released this month.
The state government’s proposed South West integrated furniture precinct is close to being realised, with a feasibility study into the project due to be released this month.
However, the study, which is being funded by the government and key furniture industry stakeholders, will be vastly different from the government’s 2004 proposal.
Originally intended to create a furniture industry hub in Manjimup, to compensate for the downgrading of the sawmilling industry in the South West town, the precinct will now consist of a wood components manufacturing operation.
And while Manjimup is no longer a contender for the precinct, a number of other South West sites are under consideration, including Dardanup, Harvey, Collie, Busselton and Yarloop.
Furnishing Industry Association of Australia (WA) Inc chief executive officer Ian Hearn said Manjimup was not a viable location for the precinct because of its distance from Perth.
“To do this properly, we need a daily service to the metropolitan area,” he said.
Mr Hearn said the precinct would build on the existing collaboration between Wangara-based furniture design and manufacturing company, Jamel Industries, and Malaga-based outdoor furniture manufacturer Inglewood Products Group, which involves the manufacture of furniture, flooring and joinery components used by furniture manufacturers.
“We’re looking at setting up a base to do what they do, plus assist other furniture manufacturers,” he said.
Mr Hearn said Jamel’s computerised machinery would also provide an important service to other furniture manufacturers, particularly those using chair components.
“This is important to the furnishing industry. Unless we have automated machinery, we’ll be uncompetitive in the world market,” he told WA Business News.
“Also, people won’t need to relocate. There are good reasons to stay in the metro area, not least of which is labour, which needs to be very skilled and isn’t always available in country areas.”
The precinct is part of the state government’s $4 million plan to assist furniture manufacturers in WA, which has included a two-year industry assistance scheme for furniture and fine wood industries in the South West.
In total, nearly $2.5 million has been allocated in a series of grants to WA woodworking and fine furniture businesses since July last year.
Dwellingup-based Forest Heritage Centre received half of the grant pool to establish new training facilities and expand the program of courses available at the its Australian School of Fine Wood.
The $1.25 million grant forms part of the funding for a $4.9 million expansion program at the centre.
In February, Busselton-based Jensen Jarrah Pty Ltd and Yallingup’s John Streater Fine Furniture received grants of $182,812 and $20,000, respectively, to develop product design and plant facilities.
Last month, Gosatti Nominees, which trades as Inglewood Products Group, received a $995,000 loan for the relocation of its manufacturing facility from Malaga to Oldbury, between Rockingham and Mundijong. The loan is to be converted to a grant once the group’s new facilities are constructed and machinery relocated, with $332,000 having already been converted.
Inglewood Products Group director of operations Carlo Gosatti said the relocation would improve efficiency by bringing the production facility closer to the company’s sawmill.