análisis de las cadenas de valor de los RAEE
5. Estudio y análisis del sistema de mercado
The case study regional area of focus is the Local Government Area (LGA) Armidale Dumaresq located in Northern New South Wales. As of the 2011 Census, the LGA population was 24,105 people, equivalent to approximately 0.3% of the then total state population.
Armidale Dumaresq has a broadly similar industry profile compared to Australia as a whole (see below in Table E.1), except for one key difference. The biggest single industry in the LGA is Education and Training, which employed 21% of the local population in 2011, compared to 8% for Australia as a whole. This is due to the presence of the University of New England, which is the single biggest employer in the town of Armidale.
Table E.1: Share of employment by industry, 2011
Industry Armidale Dumaresq Australia
Agriculture, Forestry and Fishing 6% 3%
Mining 0% 2%
Manufacturing 3% 9%
Electricity, Gas, Water and Waste Services 1% 1%
Construction 6% 8%
Wholesale Trade 2% 4%
Retail Trade 13% 11%
Accommodation and Food Services 9% 7%
Transport, Postal and Warehousing 2% 5%
Information Media and Telecommunications 1% 2%
Financial and Insurance Services 3% 4%
Rental, Hiring and Real Estate Services 1% 2%
Professional, Scientific and Technical Services 6% 7%
Administrative and Support Services 2% 3%
Public Administration and Safety 5% 7%
Education and Training 21% 8%
Health Care and Social Assistance 13% 12%
Arts and Recreation Services 1% 2%
Other Services 4% 4%
University of New England profile
The University of New England (UNE), founded in 1938, is the oldest Australian University located outside of a state capital city. In 2014, 979 international students were enrolled in the University of New England, making up nearly 5% of the total 21,419 in student enrolments (DET, 2015d).
While a 5% international student share appears low compared to the national average of 18% (Productivity Commission, 2015a), their on-campus representation is greater. Indeed, given that the University has a sizeable distance education domestic cohort, when students under the ‘external mode of attendance’ are excluded, international students make up 19% of the total ‘internal’ and ‘multi-modal’ enrolment population (DET 2015d). When ‘multi- modal’ students are also excluded, international students make up 23% of ‘internal mode of attendance’ students at the University.
Further, international students also represent a significant portion of the total local population, making up approximately 4% of the LGA population. This is higher than the State average, where international student enrolments make up 3% of the total New South Wales population.
Regional benefits of international education: local community involvement
The smaller population in regional areas gives international students a greater chance of integrating into the local community and making a significant positive contribution. For instance, Dunya Alruhaim, who is studying Masters of Education at UNE, is involved in a number of community groups helping Arabic speaking women and families to settle into Armidale (ABC, 2015). Recognising her contribution to the community, she was awarded the 2015 New South Wales International Student of the Year Award under the Higher Education category (NSW Government, 2015).
As noted by consultation participants, regional universities are more likely to attract research students to their fields of expertise. In 2014, 22% of international students in UNE were completing a doctorate by research. This is significantly higher than New South Wales average of 6% (DET 2015d). There are also fewer undergraduate students at the UNE, with Bachelor students making up 34% of the international student population, compared to 45% for the State as a whole. Chart E.1 shows the level of course profile of international students in UNE compared to overall Higher Education institutions in New South Wales.
Chart E.1: International student enrolments by broad level of course, 2014 UNE NSW 100% 60% 80% 40% 20% 0
Doctorate Master’s Bachelor Other
12% 13% 34% 45% 36% 6% 33% 22% Source: DET, 2015d
The University also attracts students to different broad fields of education compared to the New South Wales Higher Education sector as a whole. In 2014, while Management and Commerce was the most popular specialisation for international students at UNE (making up 33% of total enrolments), it was lower than the state average of 49%. International students were significantly more likely to study in ‘Agriculture, Environmental and Related Studies’, ‘Health’, and ‘Education’ compared to overall international students in the State, while significantly less likely to choose ‘Engineering and Related Technologies’ compared to the State average (DET 2015d).
Economic contribution
The contribution methodology broadly follows those described in Appendix D. International student fees to the University are taken from the DET publication, and totalled $13 million in 2014, or approximately 5% of the University’s total revenue. This is scaled up to account for differences between DET and ABS data sources according to the common New South Wales multiplier. The analysis assumes that University expenditure on intermediate inputs is in the same proportions as in past contribution studies by Deloitte Access Economics. The analysis also assumes that international Higher Education student expenditure on goods and services are the same as New South Wales as a whole, with the average Higher Education student enrolment estimated to be spending $27,758 per year on goods and services. Given that there is mixed evidence for whether average student living expenses would be higher or lower in Armidale, the above figure is an appropriate first estimation. For instance, consultation participants have noted that while accommodation is likely to be cheaper in Armidale, costs for groceries and transportation are likely to be higher. Further, past studies have found that the average international postgraduate (HDR) student spends 46% more on general living expenses than the average international undergraduate student (UA, 2012). Given the higher proportion of research doctorate international students at the University, it is another indicator that average living expenses may not necessarily be lower in Armidale.