News 
 State News 
 Agribusiness and General 
 General 
 On economic knife-edge ... 

On economic knife-edge ...

06 Sep, 2008 05:00 AM
Consumers have tightened their belts and businesses in regional areas are feeling the pinch as high petrol prices, drought and general financial uncertainty bites rural economies.

So far employment has been largely unaffected in most centres, but many mayors and other observers fear that unless rain arrives soon, this will change for the worse.

On the South Coast, Bega Valley Shire Council mayor, Tony Allen, and a lot of his constituents are praying for rain – literally.

He said after an extremely cold winter with high fertiliser, grain and fuel prices, a strong season was needed to boost the local economy.

“Businesses are just getting by,” he said.

“They’re not at desperate stages, but there’s shops that are empty. None of them have big smiles on their faces.”

Further west in the Riverina, the community of Narrandera is hoping the rain will come, and also that fuel prices will drop.

Mayor John Sullivan said at least one business had cut staff – something his council would continue to monitor.

In Gunnedah, Mayor Gae Swain said the impact of rising fuel costs had been enormous – particularly at a time when people were trying to sow winter crops.

She was particularly concerned some families were being forced to give up their sporting and children’s activities.

Cr Swain said it wouldn’t be long before most companies were adding the rising cost of fuel to their product and services costs and the high cost of diesel was having an impact on farming businesses as well.

Record low sales were recorded in the Orana and Central West regions during the June quarter, a Reliance Credit Union business survey has found.

John Walkom, chairman of GoWest Growing Opportunities, in the west of NSW, said the harsh, dry winter had been felt hardest in Orana, particularly with the high cost of fuel.

“Business and professional service providers reported the strongest sales performance of the quarter, while the greatest downturn occurred in the transport industry,” he said.

However, the jobs market remained stable.

The number of full-time positions was about the same, with three per cent of businesses increasing casual positions and only one per cent dropping their numbers of casuals.

Print
Increase Text Size
Decrease Text Size

comments


No comments yet. Be the first to comment below.

post a comment


Screen name  *
Email address  *
Remember me?
Comment  *
 
We invite and encourage our readers to post comments. Comments are moderated and will appear as soon as our editor has approved them. When posting comments you agree to be bound by our Terms and Conditions.
Located where two highways meet, the Riverina township of Narrandera knows just how hard fuel price increases hit.  Narrandera Shire Mayor, John Sullivan is pictured (right) with Narrandera Shire Council general manager, Mark Amirtharajah, in the main street of Narrandera.
Located where two highways meet, the Riverina township of Narrandera knows just how hard fuel price increases hit. Narrandera Shire Mayor, John Sullivan is pictured (right) with Narrandera Shire Council general manager, Mark Amirtharajah, in the main street of Narrandera.
It services a population of more than 100,000 and Dubbo businesses are aware that consumers have reduced their spending.  Dubbo mayor, Greg Matthews, said some of the casual workforce had been affected, most full-time and part-time positions had remained in place.
It services a population of more than 100,000 and Dubbo businesses are aware that consumers have reduced their spending. Dubbo mayor, Greg Matthews, said some of the casual workforce had been affected, most full-time and part-time positions had remained in place.

Most popular articles

SPRAY AWARDS NEWS MREC



The Land







Weather brought to you by:

Weatherzone

Classifieds

Front Page

Current Issue
Privacy Policy | Conditions of Use | Advertising Terms | Copyright © 2012. Fairfax Media.
 SEND...
 SAVE...
 SHARE...