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Research and Experimental Development, Businesses, Australia

Expenditure and human resources devoted to Research and Experimental Development (R&D) carried out by businesses in Australia

Reference period
2017-18 financial year

Business resources devoted to Research and Experimental Development (R&D)

During 2017-18, expenditure on R&D by Australian businesses was $17,438 million. Business expenditure on R&D (BERD) increased by 5% in current price terms and increased by 4% in chain volume terms from 2015-16.

Business human resources devoted to R&D in 2017-18 totalled 74,991 person years of effort (PYE), an increase of 6%.

Business resources devoted to R&D

   2010-112011-122013-142015-162017-18
Expenditure on R&D      
 Current prices$m18 00718 32118 84916 65917 438
 Chain volume measures(a)$m19 37919 22719 43216 81117 438
Human resources devoted to R&DPYE56 51164 90678 83970 46774 991
a. The reference year for chain volume measures is 2017-18. Refer to the Chain volume measures section of the Methodology page for details.
 

Subsequent expenditure figures and supporting commentary relate to current price terms.

BERD as a proportion of Gross Domestic Product (GDP) decreased from 1.0% in 2015-16 to 0.9% in 2017-18.

Business expenditure on R&D (BERD)

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  1. Ranked by 2017-18 BERD
  • The four industries with the greatest contribution to BERD are the Professional, scientific and technical services ($5,113 million or 29%), Manufacturing ($4,599 million or 26%), Financial and insurance services ($2,847 million or 16%) and Mining ($1,050 million or 6%). Together, these four industries accounted for more than three quarters (78%) of total BERD.
  • Professional, scientific and technical services recorded the largest increase (up $1,362 million or 36%) followed by Manufacturing (up $691 million or 18%). Conversely, Mining and Financial and insurance services recorded the largest decrease, down $826 million (44%) and $368 million (11%) respectively.
     

BERD and Gross State Product (GSP)

The state or territory with the highest level of BERD as a proportion of GSP was New South Wales (1.13%). The ACT was the only location that showed an increase in the BERD/GSP ratio (up 0.30 percentage points to 0.55%). Western Australia showed the largest decrease (down 0.26 percentage points) from 0.87% to 0.61% over a two year period.

BERD, by location of expenditure - proportion of GSP(a)

 NSWVic.QldSAWATas.NTACT
 %%%%%%%%
2017-181.131.060.550.740.610.570.120.55
2015-161.181.100.640.780.870.650.300.25
a. Refer to the Gross Domestic Product (GDP) and Gross State Product (GSP) section of the Methodology page for details.
 

Location of expenditure

Location of expenditure relates to the region in which the R&D activity was performed (refer to the Location of expenditure section of the Explanatory Notes for more information).

  • New South Wales and Victoria continued to have the highest levels of BERD, with $6,823 million (39% of total BERD) and $4,545 million (26% of total BERD) respectively.
  • BERD incurred Overseas recorded the largest increase in dollar terms, up $534 million (66%).
  • BERD in Western Australia showed the largest decrease down $490 million (24%), followed by Queensland down $43 million (2%).

Gross expenditure on R&D (GERD)

Gross expenditure on R&D (GERD) represents the total expenditure devoted to R&D by the Business, Government, Higher Education and Private Non-Profit sectors.

Commencing in 2010-11, estimates of GERD expenditure has been modelled. Refer to the Modelled estimates of GERD section of the Explanatory Notes for more information.

Due to continued interest in understanding total expenditure on R&D across the Business, Government, Higher Education and Private Non-Profit sectors, the following estimates have been modelled.

GERD for Australia is estimated at $33,062 million, an increase of $1,883 million (6%) over a two year period.

GERD, by sector

 2008-092010-112011-122013-142015-162017-18
 $m$m$m$m$m$m
Business17 29118 00718 32118 84916 65917 438
Government3 420(a) 3 833r3 549(a) 3 752(a) 3 959(a) 3 329
Higher education6 8448 161(a) 8 885(a) 9 919(a) 9 549(a) 11 235
Private non-profit744(a) 914r944(a) 952(a) 1 011(a) 1 060
Total(b)28 299(a) 30 915(a) r31 699(a) 33 472(a) 31 179(a) 33 062
r revised
a. These estimates have been modelled.
b. Where figures have been rounded, discrepancies may occur between the sum of the component items and totals.
 

GERD and Gross Domestic Product (GDP)

GERD as a proportion of GDP decreased from 1.88% to 1.79%.

GERD, as a proportion of GDP(a)

 2008-092010-112011-122013-142015-162017-18
 %%%%%%
GERD/GDP2.252.182.112.091.881.79
a. Refer to the Gross Domestic Product (GDP) and Gross State Product (GSP) section of the Methodology page for details.
 

Data downloads

Business expenditure on R&D, summary statistics, 2017-18

Business expenditure on R&D, by ANZSIC06 industry subdivision, by employment size, 2017-18

Business expenditure on R&D, by ANZSIC06 industry subdivision, by type of expenditure, 2017-18

Business expenditure on R&D, by ANZSIC06 industry subdivision, by source of funds, 2017-18

Business expenditure on R&D, by ANZSIC06 industry subdivision, by location of expenditure, 2017-18

Business expenditure on R&D, by ANZSIC06 industry subdivision, by type of activity, 2017-18

Business expenditure on R&D, by fields of research, 2017-18

Business expenditure on R&D, by socio-economic objective, 2017-18

Business human resources devoted to R&D, summary statistics, 2017-18

Business human resources devoted to R&D, by ANZSIC06 industry subdivision, by employment size, 2017-18

Business human resources devoted to R&D, by ANZSIC06 industry subdivision, by type of resource, 2017-18

Relative Standard Error, business resources devoted to R&D, 2017-18

All data cubes

Survey material

To view the Survey of Research and Experimental Development, Businesses 2017-18 Questionnaire (Sample Only) click here.

Previous catalogue number

This release previously used catalogue number 8104.0.