ICT trade deficit grows

The Australian Computer Society has just released a report claiming that Australia's ICT trade deficit had reached almost $16 billion in the year to 2001.

The report's author, Professor John Houghton, said the decline in Australia's ICT equipment manufacturing industry, coupled with an increasing dependence on overseas hardware, software and services was contributing to Australia's growing trade deficit.

"ICT equipment now accounts for around 16% of Australia's total merchandise imports, costing us more than cars and fuel combined, and more than our imports of food, textiles, clothing, footwear, civil aircraft, chemicals, pharmaceuticals, books, toys and leisure goods combined."

"Our deficit on ICT equipment last year, excluding re-exports, accounted for more than $16 billion. Over the decade from 1991 to 2001, Australia's deficit on ICT trade amounted to a total of almost $94 billion, or around $5000 for every man, woman and child," he said.

The report showed that Australia exported ICT and related services worth $3.8 billion during 2001. However, the ACS said the export figure was boosted by one-off payments of $1 billion for television rights to the Olympic Games.