• Summary
• Downloads
• Explanatory Notes
• Related Information
• Past Releases

ABS

Australian Bureau of Statistics

Acquisition of dwellings, other buildings and structures

Capital expenditure incurred acquiring dwellings, other buildings and structures, including roads, factories, warehouses, offices, bridges, etc.

Acquisition of other assets (including land and intangible assets)

Capital expenditure incurred acquiring other assets (including land and intangible assets). Intangible asset purchases may include items such as patents, licences and goodwill. Also included is computer software capitalised, including installation costs, the purchase or development of large data bases and software developed in-house (but excluded is software maintenance expenditure). Note that if the cost of software and hardware cannot be separated, the total cost is included in acquisition of plant, machinery and equipment.

Acquisition of plant, machinery and equipment

Capital expenditure incurred acquiring plant, machinery and other equipment. Note that this category includes the acquisition of motor vehicles.

Amount exported by this business or its agent

This represents the sales value of goods produced by the management unit (or for it on commission) that are exported (or are intended for export) outside Australia by the business or by its agent.

ASIC

Australian Standard Industrial Classification

ANZSIC

Australian and New Zealand Standard Industrial Classification

billion

One thousand million.

Capitalised work done by own employees for own use or for rental or lease

Work done by the employees or proprietors of a management unit for use by the business or for rental or lease to other businesses that is capitalised. The main types of work included are the manufacturing, constructing, installing or repairing of assets and the in-house development of computer software. This work is valued at the capitalised costs of the materials and the wages and salaries involved.

Conceptually, under the current international standards, this item should also include own account mineral exploration and own account production of literary, entertainment or artistic originals. However, these activities are relatively unimportant for manufacturers and have not been measured for manufacturing industries.

Change in inventories

The value of total closing inventories minus total opening inventories.

Closing inventories

The value of all inventories of finished goods, work-in-progress, raw materials, fuels, containers and packaging at the end of the reporting period.

Commission manufacturing

Significant amounts of manufacturing are undertaken on a commission basis by one manufacturer on behalf of another or on behalf of a non-manufacturer for a fee. Typically, commission manufacturing involves a client commissioning the production of goods utilising materials provided by the client. Ownership of these materials remains with the client. Similarly, the goods made using these materials are owned by the client.

For the purposes of the estimates in this publication, the producing business (i.e. management unit) reports the commission fee as service income and the wages and salaries and any other expenses incurred.

If the client is also a manufacturing business then in addition to data for their own manufacturing operations, the client reports the sales and inventories of the commissioned goods, the cost of the materials provided to the producing business, the commission fee paid and the value of any other intermediate inputs related to the commission transaction. If the client is not a manufacturing business, no data are reported by the client as they are excluded from the manufacturing collection.

Employer contributions into superannuation including salary sacrifice

Included in this item are all employer contributions to superannuation funds (including the employer productivity contribution) and provisions for employer contributions to superannuation funds. Employee contributions are excluded.

Employment at end of June

The number of working proprietors and partners, plus all employees during the last pay period ending in June each year. Non-salaried directors, self-employed persons such as consultants and contractors, persons paid by commission only and volunteers are excluded.

Management units with significant activities in more than one state/territory were asked to report employment at the end of June for each state/territory in which the business operated.

Enterprise group

A unit covering all the operations in Australia of one or more legal entities under common ownership and/or control. It covers all the operations in Australia of legal entities which are related in terms of the current Corporations Law. These may be legal entities such as trusts and partnerships as well as companies. Majority ownership is not required for control to be exercised.

Establishment

The establishment is the smallest accounting unit of a business, within a state or territory, controlling its productive activities and maintaining a specified range of detailed data i.e. the data needed to compile turnover, opening and closing inventories, purchases and transfers in, motor vehicle running expenses, freight and cartage expenses, commission expenses, rent, leasing and hiring expenses, and repair and maintenance expenses. In general, an stablishment covers all operations at a physical location, but may consist of groups of locations provided they are within the same state or territory. The majority of establishments operate at one location only.

Exports as a proportion of sales of goods produced (table 6)

For an individual management unit, this represents the percentage of sales of goods produced by the business (or for it on commission) which are exported (or are intended for export) outside Australia by the business or by its agent. In table 6, the ratio is calculated by dividing the value of goods exported by the value of sales of goods produced by all businesses (i.e. management units) not just the aggregated value for those units which exported. (The data in table 6 exclude those manufacturing management units which operated during 2000-01 but were not operating at 30 June 2001.)

Funding by federal, state or local governments for operational costs

Funding by federal, state or local governments for operational costs (e.g. wages and salaries, rent). Included are bounties, subsidies, export grants, and apprenticeship and traineeship schemes.

Industry class

Within ANZSIC, there is a structure comprising four levels ranging from industry division (broadest level) to the industry class (finest level). At the industry class level, the activities are narrowly defined and recognised by a four-digit code, e.g. Industry Class 2331 for Pulp, paper and paperboard manufacturing. Usually, an activity is primarily confined to one class. However, some activities may be primary to more than one class.

Industry division

Within ANZSIC, there is a structure comprising four levels ranging from industry division (broadest level) to the industry class (finest level). The main purpose of the industry division level is to provide a limited number of categories which give a broad overall picture of the economy. There are 17 divisions within ANZSIC each identified by an alphabetical letter, that is 'A' for Agriculture, forestry and fishing, 'B' for Mining, 'C' for Manufacturing, etc.

Industry gross product (IGP)

For periods prior to 1997-98, estimates of IGP represented the measure of the contribution by manufacturing industries to gross domestic product (GDP). however, commencing with estimates for 1997-98 following the introduction of new international standards for measuring economic variables, IGP has been replaced by the variable industry value added (IVA) for the purpose of measuring industry contribution to GDP.

The relationship between IVA estimates and IGP estimates is:

	IVA
plus	Intellectual property royalty expenses
less	Intellectual property royalty income
less	Computer software expenses not capitalised by the business
less	Selected indirect taxes (for manufacturing industries, the main types are fringe benefits tax, payroll tax, land rates and land taxes)
equals	IGP

	Sales and service income (new standards)
plus	Funding by federal, state or local governments
	for operational costs
plus	Own account capital work
plus	Closing inventories
less	Opening inventories
less	Intermediate input expenses (for details, see the entry for operating expenses)
equals	IVA

	Intermediate input expenses (for details, see the entry for operating expenses)
plus	Opening inventories
less	Closing inventories

• purchases of materials, components, containers and packaging materials, electricity, fuels and water, and purchases of goods for resale
• motor vehicle running expenses, freight and cartage expenses, repair and maintenance expenses
• rent, leasing and hiring expenses (except for finance lease payments)
• commission payments to other businesses and self employed persons for work done or sales made on a commission basis without a retainer.

• Wages and salaries including provisions for employee entitlements
• Employer contributions into superannuation including salary sacrifice
• Workers' compensation premiums/costs
• Payroll tax and Fringe benefits tax.