The beautiful twenty-sixth largest island in the world, named 'Tasmania' after the Dutch explorer, Abel Tasman, lies in the path of the notorious 'Roaring Forties' surrounded by the Indian and Pacific Oceans.
Home for approximately 512,000 inhabitants, Tasmanians are facing a crisis.
It is official.
Tasmania is in a recession.
With many young inhabitants leaving Tasmania's shores for more lucrative work prospects on the mainland.
The question now is "are there steps that can be taken to reverse this situation?" If the Federal Government, working with State Government is prepared to invest money for the long haul, a favourable turnaround is achievable.
However, people must be prepared to commit to the long term viability of Tasmania,, not just for the four year electoral cycle, which is the preferred option for so many politicians who are solely interested in securing their tenure, for the next term of office.
This sort of attitude mitigates the constructive changes that need to be made.
A bipartisan approach has to be reached to lift Tasmania out of its financial worries.
All Australian States have to work together, to achieve this result.
Tasmania and the Federal Government cannot do this alone.
After all, Tasmania is part of the Commonwealth of Australia, the separation from the mainland forced on the State by Bass Strait should not influence decision making, and all State Governments should realise that it is in their collective interests to promote solid economic growth for all areas of Australia including Tasmania.
The days of the separate States being only concerned with their parochial interests are drawing to a close.
We have federal regulatory bodies that administer on behalf of all Australians wherever they may reside and it is high time that a similar approach is taken to deal with Australia's economic woes.
So what can be done to address Tasmania's slide into recession? Tasmania just as any other Australian State has some naturally competitive advantages that should be exploited.
Its only when an area exploits these that it will achieve long term sustainability for its industries, services and institutions.
Emphasis on the island's natural advantages, for instance, tourism, fishing, agriculture and forestry would help to propel the economy.
Reserves, National Parks and World Heritage sites make up for approximately forty-five percent of Tasmania's landscape.
Mining of copper, zinc, tin and iron has been a major industry in the past and will continue for the foreseeable future.
Newer 'boutique' crops, such as, wine, saffron, and pyrethrum is being promoted by the Tasmanian Institute of Agricultural Research.
There is also a thriving and sustainable fishing and seafood sector.
The State has a thriving poppy industry as well as solid dairy, beef and sheep farms.
All these concerns play to the State's competitive advantages.
Their only down side is that the Tasmanian population alone is insufficient for these companies to enjoy economies of scale without resorting to marketing to other Australian States or internationally.
The competitive advantage these industries have is wiped out by the cost of reaching those markets.
Australians everywhere are therefore faced with a stark choice.
"Do we set programmes in train that enable Tasmanian companies to compete with those of other States and thereby make the best of their competitive advantages? Or, do we allow the status quo to continue and recognise that Tasmania will continue indefinitely to drain revenues away from other more profitable States?" If we go for the first option Australians must be prepared to change their mind set on Tasmania's place in our Commonwealth of Australia.
There are a number of things that can be achieved by deliberate and targeted Federal Government policy.
Instead of concentrating service industries in the mainland capital cities, some service industries such as Government departments could be relocated to Tasmania? Communications these days are such that remoteness from major centres of population is not a drawback.
The introduction of the NBN, the continual expansion and improvement of technology, all make the necessity for being located in central areas, much less important.
We do have precedence for this strategy, with the development of Albury-Wodonga; an area deliberately targeted as a viable region for decentralization years ago, when Australia was far more dependent on manufacturing industry.
Serious consideration should be given to decentralizing the Federal bureaucracy by relocating some Commonwealth departments to Tasmania, especially those complimenting the natural assets of the State, for example, the Department of Fisheries, Search and Rescue and the Department of Environment and Conservation.
With the huge leaps forward in technology, there really is no need to have them all located in Canberra, these offices can be operated just as effectively from Tasmania.
It is the multiplier effect which will assist the Tasmanian economy, so even though the direct employment may not be huge, it would be the indirect employment that is associated with the relocation of these organisations that would benefit the State.
In the Australian Capital Territory, for instance, the upper limits to its expansion must have been reached and any further growth will incur higher costs compared with those incurred in Tasmania where land, housing for staff etc.
, is relatively less expensive.
It may well be an appropriate and fortuitous time to re-examine these possibilities.
The establishment of another or the growth of the existing University with a clear "specialty faculty" offering a degree, not as well catered for by other Universities.
This would result in many students from other Universities doing at least part of their degrees in Tasmania.
The example of James Cook University, which is widely known for marine biology, is an example of the benefits such a strategy would bring to the State.
Of course, this assumes that other Universities would be willing to put aside their competitive urges to help achieve this for the greater good.
At first glance one may think that University students are a poor source for economic growth, however, never lose sight of the multiplier effect associated with such an initiative.
At the moment Tasmania has only one University located on three campuses Hobart, Launceston, and a smaller one located on the North West coast, offering only first year subjects.
The Federal Government would need to make a commitment to maintain equality of transportation costs across Bass Strait, so that Tasmanians will not be disadvantaged in mainland markets.
(Nor by the way should mainland companies be disadvantaged in operating in the Tasmanian market).
Again, this has to be long term commitment.
It has to be a policy to springboard Tasmania onto an equal footing, with every Australian State.
Although it will be argued that this will place a significant tax burden on the Federal government, one needs to offset this against the long term social security impost placed on the government, by perennially unemployed and under employed Tasmanians.
The chief employers for Tasmanians are the local government, the Federal Group who are the owners of several hotels and two casinos, and numerous small businesses.
Small business success stories include International Catamarans, the Moorilla Estate and Tassal.
Call centres have also made their presence on the island during the late 1990s, where some national companies were able to obtain cheap access to broadband fibre optic connections.
The Australian Antarctic Division, located in Hobart, has also proven to be an appropriate decision in terms of locating a Government department.
Tasmania's problems need to be addressed with disregard to the electoral cycle, in order that systems are put into place which will bring the island on par with the rest of the country.
It is crucial that Tasmania is not seen as a 'beggar state', that it is recognised as having an equally important role to play in our Federation and in the life of the nation.
All State Governments need to put aside parochial politics and support the Federal Government in order to implement successful strategies.
Further development in aquaculture facilities should be explored.
Potentially, there are more species suitable for aquaculture.
There are already abalone, oyster, atlantic salmon and sea horse farms, but there are other fish species that could be targeted, for example, stripey trumpeter, and crayfish.
Tasmania should capitalize on its natural economic advantages, concentrate on those industries, rather than trying to succeed in manufacturing which without continuous subsidies, will simply pull up stakes and go.
A better economic strategy is to concentrate on industries that can survive competitively.
Industries which are suited to the Tasmanian climate and environment.
There are also several possibilities for further developments in the tourism sector such as reinvigorating the State's railway to carry passengers.
The Australian attitude has always been to concentrate on the resource sector, leaving downstream processing and manufacturing to be carried out in other countries or in Tasmania's case another State.
If we do not reap the benefits of downstream processing over time, in terms of employment, value added etc.
, this accrues to the countries that negotiated the original contracts instead.
We should be making the establishment of downstream processing plants part and parcel of the contracts negotiated for the sale of our resources over the life of the contract.
This strategy will ensure that eventually our resources provide more employment for Australians and Tasmanians.
It is entirely appropriate that those who seek to benefit from our resources should also contribute to the development of the long term economic welfare of the people in the regions where they obtain their resources.
At present once the resource is depleted the companies will leave only a legacy of exploitation and short term financial prosperity, for a few whilst the resource lasts.
Therefore, it is crucial that all Australians collectively work together to strengthen and lift Tasmania out of its economic recession.
We must distance ourselves from the usual parochialism and self centred politicians concentrating solely on their chances for re-election.
It is fundamental for progressive changes to be instigated; the time for complacency has passed.
We need to look outside the square at the constructive changes that can be made to benefit not only Tasmania, but all Australians when the island State can contribute fully to the productive life of our nation.