Up to 100 jobs will be created in Benalla after the Federal Government signed a new 10-year contract with NIOA Munitions.
The positions will be created at a site shared by Thales munitions factory on Yarrawonga Rd.
NIOA is an Australian-owned company and the largest commercial supplier of non-guided munitions to the Australian Defence Force (ADF) through its partnerships with global manufacturers.
Defence Minister Linda Reynolds said the contract demonstrated the Morrison government’s commitment to growing Australia’s local manufacturing and munitions capability.
“Enabling new companies to establish and grow in Victoria will harness local skills and expertise in the manufacturing sector and the Australian defence industry exports,” Ms Reynolds said.
“NIOA is already pursuing export opportunities from the new tenancy at Benalla and is well placed to manufacture munitions for use by the ADF in the future.
“This contract will establish NIOA as a tenant alongside Thales Australia, where together they will provide opportunities for domestic manufacturing while enhancing supplies of key munitions for Defence.”
Defence Industry Minister Melissa Price said NIOA was also in the process of building an advanced manufacturing facility in Maryborough, Queensland, with joint venture partner Rheinmetall Waffe Munitions.
The project has received support from the government’s Regional Growth grant scheme.
“This new contract was born out of the Sovereign Industrial Capability Priority Industry Plan for Munitions and Small Arms Research, Design, Development and Manufacture, which I released in 2019,” Ms Price said.
“This capability plan provides a roadmap to help current and aspiring Australian defence industry businesses understand the capability priorities of the ADF, now and into the future.”