Budget 2013/14 Northern Territory Economy
Tabled paper 295
Tabled Papers for 12th Assembly 2012 - 2016; Tabled Papers; ParliamentNT
Tabled by David Tollner
Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.
Department of the Treasury and Finance
Structure of the Economy 9 Northern Territory Economy Structure of the Economy The structure of the Northern Territory economy is markedly different to other Australian jurisdictions, reflecting its abundance of natural resources, its relatively large public sector and significant defence presence but relatively smaller professional, financial and insurance sectors. Economic growth can be volatile in the Territory given its relatively small economy, large mining sector and industry concentration. The top five industries (mining, construction, public administration and safety, healthcare and social assistance, and manufacturing) accounted for 50.6percent of gross state product(GSP) in 2011-12 compared with 40.5percent for the top five industries nationally. The largest industry in the Territory, by value of production, is mining, accounting for 19.8percent of GSP in 2011-12, compared with 9.7percent of gross domestic product (GDP) nationally. Over the four years to 2016-17, the mining industry is expected to continue to lead economic activity in the Territory. The construction industrys contribution to economic activity is expected to grow significantly over this period, primarily reflecting the development of the Ichthys liquefied natural gas (LNG) plant at Blaydin Point. The manufacturing industrys contribution to GSP is expected to increase in 2016-17 as LNG production commences at the Ichthys LNG plant. Northern Territory Australia 2011-12 Change1 2011-12 Change1 GSP/GDP ($B)2 18.5 4.4%3 1 473.2 3.4%3 GSP per capita2 $80 445 $4 921 $64 725 $2 126 Contribution to GSP2 Mining 19.8% 0.0 ppt 9.7% 0.3 ppt Construction 11.6% 1.3 ppt 7.2% - 0.1 ppt Public administration and safety 8.1% - 0.3 ppt 4.8% - 0.1 ppt Healthcare and social assistance 5.6% - 0.1 ppt 5.9% 0.2 ppt Manufacturing 5.5% - 1.1 ppt 7.1% - 0.5 ppt Contribution to employment Public administration and safety 14.3% - 0.9 ppt 6.4% 0.2 ppt Healthcare and social assistance 11.1% 0.3 ppt 11.8% 0.4 ppt Construction 10.3% 0.2 ppt 8.9% - 0.1 ppt Education and training 9.3% 0.8 ppt 7.6% 0.0 ppt Retail trade 9.1% - 0.7 ppt 10.6% - 0.2 ppt ppt: percentage point 1 Change from 2010-11 2 Current prices 3 Inflation adjusted, base year 2010-11 Source: ABS Cat. Nos 5220.0, 6291.0.55 Chapter 1 Key points