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Journal of the Australian Rangeland Society
RESEARCH ARTICLE (Open Access)

Are Indigenous land and sea management programs a pathway to Indigenous economic independence?

Diane Jarvis A B G , Natalie Stoeckl C , Jane Addison A B , Silva Larson C , Rosemary Hill D E , Petina Pert E and Felecia Watkin Lui F
+ Author Affiliations
- Author Affiliations

A James Cook University, College of Business, Law and Governance, Townsville, Qld 4811, Australia.

B CSIRO Land and Water, Townsville, Qld 4811, Australia.

C James Cook University, Townsville, Qld 4811, Australia.

D CSIRO Land and Water, Cairns, Qld 4870, Australia.

E CSIRO Land and Water, Pullenvale, Qld 4069, Australia.

F James Cook University, Cairns, Qld 4870, Australia.

G Corresponding author. Email: diane.jarvis1@jcu.edu.au

The Rangeland Journal 40(4) 415-429 https://doi.org/10.1071/RJ18051
Submitted: 30 April 2018  Accepted: 16 August 2018   Published: 27 August 2018

Journal compilation © Australian Rangeland Society 2018 Open Access CC BY-NC-ND

Abstract

This paper focuses on Indigenous business development, an under-researched co-benefit associated with investment in Indigenous land and sea management programs (ILSMPs) in northern Australia. More than 65% of ILSMPs undertake commercial activities that generate revenue and create jobs. In addition to generating environmental benefits, ILSMPs thus also generate economic benefits (co-benefits) that support Indigenous aspirations and help to deliver multiple government objectives. We outline key features of northern Australian economies, identifying factors that differentiate them from Western urbanised economies. We discuss literature highlighting that, if the aim is to stimulate (short-term) economic development in northern Indigenous economies, then the requirement is to stimulate demand for goods and services that are produced by Aboriginal and Torres Strait Islander people (herein referred to as Indigenous people), and which generate benefits that align with the goals and aspirations of Indigenous people. We also discuss literature demonstrating the importance of promoting a socio-cultural environment that stimulates creativity, which is a core driver of innovation, business development and long-term development.

ILSMPs have characteristics suggestive of an ability to kick-start self-sustaining growth cycles, but previous research has not investigated this. Using 8 years of data relating to Indigenous businesses that are registered with the Office of the Registrar of Indigenous Corporations (a subset of all Indigenous businesses), we use statistical tests (Granger causality tests) to check whether ILSMP expenditure in the first year has a positive impact on Indigenous business activity in subsequent years. This analysis (of admittedly imperfect data) produces evidence to support the proposition that expenditure on ILSMPs generates positive spillovers for Indigenous businesses (even those not engaged in land management), albeit with a 3-year lag. ILSMPs have been shown to be an appropriate mechanism for achieving a wide range of short-term benefits; our research suggests they may also work as catalysts for Indigenous business development, fostering sustainable economic independence.

Additional keywords: Closing the gap, Economic development, Indigenous advancement, Indigenous business development, Indigenous land and sea management, Self-sustaining economic growth.


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