Manufacturing is among the sectors identified as having opportunities to scale over the next decade as population growth, infrastructure investment and major projects reshape demand across Australia, according to The Scale-up Opportunity: Australia’s Next Decade report.
The report, produced by Westpac in partnership with The Demographics Group led by demographer Bernard Salt, identifies population growth, a long infrastructure pipeline, increased entrepreneurial activity and major global events as key drivers of business growth.
It highlights the Western Sydney Aerotropolis and the emerging city of Bradfield as examples of major developments expected to generate opportunities across aerospace, defence, advanced manufacturing, healthcare, agribusiness, freight and logistics.
The report notes that Western Sydney’s population is projected to increase from 2.8 million in 2025 to more than 3.4 million by 2041, with more than 200,000 new jobs forecast in the region.
The report also points to Adelaide’s A$30 billion Osborne Naval Shipyard expansion and other major infrastructure projects as part of a broader A$120 billion pipeline expected to create new markets and business opportunities.
Salt said the combination of population growth, infrastructure investment and entrepreneurial activity could create favourable conditions for businesses seeking to expand.
“The next decade combines rising demand, new skills, transformative infrastructure and greater entrepreneurial spirit, creating fertile ground for businesses to grow at speed,” he said.
Manufacturing is also identified as a potential beneficiary of Brisbane’s 2032 Olympic and Paralympic Games. The report says the event is presenting A$2.5 billion in procurement opportunities for more than 500 businesses, with demand expected across construction, advanced manufacturing, professional services and logistics.
Brisbane Economic Development Agency CEO Anthony Ryan said the opportunity extended beyond the Games themselves.
“For businesses looking to scale, this runway spans everything from construction, advanced manufacturing, professional services and logistics supporting major infrastructure projects, as well as tourism, events and hospitality,” he said.
The report, however, cautions that access to growing markets alone will not guarantee successful expansion.
It identifies product-market fit, capital efficiency, scalable infrastructure, leadership and talent as six indicators of scale-up readiness, alongside retention and referrals.
Technology and automation are also presented as important enablers, with the report noting that mechanisation, automation, digitisation and artificial intelligence could support businesses as they expand. Emeritus Professor Roy Green said technology needed to be matched with effective management and other forms of innovation.
“Ultimately, scale-up readiness and strength rests on a combination of technological credibility, management ability, market validation and supportive policy settings,” Green said.
The report concludes that growth opportunities over the next 10 years are expected across sectors including critical minerals, defence, agriculture, the green transition and education, with manufacturing positioned among the industries that could benefit from the broader investment and demand trends.
