Priority Industry Capability Program
Priority Industry Capability
Priority Industry Capabilities (PICs) identify elements of broader industry capabilities that confer an essential strategic advantage by being resident in Australia, which, if not available, would undermine the Defence self-reliance and Australian Defence Force operational capability.
PICs are defined in terms of industrial capabilities (skills, knowledge and technologies) rather than specific companies. Under the applicable policy, an international company can establish local workforces, infrastructure and intellectual property in Australia to develop or support a capability in a specific PIC area.
The PIC fact sheet provides further information.
Priority Industry Capability health
In its 2010 Defence and Industry Policy Statement, Building Defence Capability: A Policy for a Smarter and More Agile Defence Industry Base, the government announced that PICs will be regularly reviewed and updated to account for changes to Defence capability needs and Australia's strategic environment, and available technology and market structures at the time. This review occurs annually under the Defence Planning Guidance process. The Public Defence Capability Plan and other direct announcements are employed as the principal means for communicating changes to PICs to defence industry.
In conducting PIC health reviews, Defence assesses the health of each PIC, examines whether there are any policy implications for government, and proposes appropriate market intervention strategies to assure PIC health, should intervention be required. The findings of PIC health reviews are outlined in the PIC Health Check fact sheets.
PIC Health Check fact sheets
Email: PIC team