Small business owners will be left without a share of the profits from their projects as a result of the government’s $7.9 billion investment in the ice and ice manufacturing sector.
But the announcement will leave the small businesses facing the loss of some of their investment because of a lack of an integrated business model.
The ice industry has struggled to get funding for projects in recent years, with government money going to the large ice manufacturers such as the Western Australian Government and a large ice producer in Western Australia.
An ice manufacturer in Western Australian, Icefields, said the announcement was a big loss for the industry and its workers.
“This investment will enable the Icefields company to continue to develop and grow its business in the industry,” Mr Hulme said.
“Icefields is committed to the continued development of our business and will remain committed to delivering innovative products and innovative solutions for the community.”
The government announced the new investment on Wednesday and announced a $7bn fund to support the ice industry.
However, there were questions around whether the money would help the industry as a whole.
A $7 million investment in an ice producer, and the continued investment of money in a few smaller ice producers in Western and Northern Australia, will result in only small ice producing companies being able to survive, says the Australian Industry Group.
We know from experience that when you invest in a business, you get back more than you invest, and it’s very important that the community knows what’s being invested in, said Ian Brown, CEO of the Australian Manufacturing Council.
“[This] is a big deal for small ice producers, but it will also have a big impact on small businesses in the long run,” Mr Brown said.
“It will be a big blow for the ice business in Western North Australia.”
Mr Brown said it was also an opportunity to give some small companies an opportunity of success.
“These projects are a very important part of what makes ice and it will help to bring in investment into the industry in the future, which is important, especially when it comes to innovation,” he said.
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