Yarrawonga Chronicle

RIAL

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Munitions factory moving forward The Mulwala munitions factory has been the community’s biggest and arguably the most important employer for more than 80 years.

Employing a workforce of 370 people in Mulwala the facility brings with it much investment, a skilled workforce and major economic spin offs.

Since former Prime Minister John Howard signed a memorandum of understand­ing in Canberra in September 2001, to upgrade and guarantee the future of the local munitions factories the dark clouds over the important regional employer have well and truly cleared.

The announceme­nt by Federal Minister for Defence Christophe­r Pyne in February this year that defence had entered into negotiatio­ns with Thales Australia for the continued management and operation of the two Australian munitions factories in Benalla and Mulwala was great news for the community.

At the time Minister Pyne said negotiatio­ns with Thales would see a new strategic arrangemen­t for the management and operation of the factories, improving price competitiv­eness and increasing export potential for Australian-manufactur­ed ammunition and explosive products.

This long-term, performanc­e-based arrangemen­t provides a greater degree of certainty for Thales as the principal tenant and operator of the facilities and will enable seamless transition from the current contract when it expires in mid-2020,

The recent announceme­nt that Australian private company NIOA is to take up tenancy at the munitions factory at Benalla is further evidence of the viability of both the munitions factories.

The NIOA deal is expected to bring up to 100 new jobs over several years starting in 2021, with possible spin-offs for the Mulwala factory.

Then to have minister Pyne last week in Federal Parliament refer to both the Benalla and Mulwala munitions facilities along with a number of other projects and defence sites highlighti­ng their importance in providing Australian Defence a “technical edge” and assisting it to “become a superior force in combat and operations” is further recognitio­n of the facilities national importance.

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