Packaging billionaire: Australian businesses naive on cost

Pact Group CEO Raphael Geminder.

Packaging billionaire and Pact chairman Raphael Geminder said that Australian businesses are naïve if they think that they can compete internationally unless the tax system, energy costs and wages are reformed, according to The Australian. 

Geminder said that the country needed a “clearly articulated strategy” on how it will make structural changes, especially given that US president Donald Trump is currently lookingat measures to stimulate American manufacturing.  

“We need a clearly articulated strategy on where the country is going to go on a whole bunch of metrics. Power is today’s crisis, but then it will be tax, then wage rates, then inflation,” Geminder said.

“The country needs a strategy on how it can be competitive. To think we can compete in the region with the sort of cost imposts this country has is regionally and globally naïve.” 

Earlier in 2016, Pact Group acquired Australian Pharmaceutical Manufacturers for A$90 million.