Cradle Coast RegionEconomic profile
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Cradle Coast Region

Location quotient by industry

In 2015/16, Mining was a major specialisation in Cradle Coast Region in terms of Domestic (Interregional) Export.

The location quotient is a simple way of seeing which are the main industries in an area, relative to the wider region. LQ shows the percentage of the local economy characteristic (eg. employment, value add) in a particular industry divided by the percentage of the wider area (region, state, nation) that this industry makes up.

  • Where LQ=1, that industry is exactly as prevalent as in the wider region.
  • A LQ greater than 1.2 indicates a significant specialisation of the industry in the local area – possibly a key economic strength. Higher numbers mean greater specialisations. Anything over 2 is a major specialisation.
  • A LQ between 0.8 and 1.2 means the industry is broadly similar in importance in the local area compared to the comparison region and could be seen as representative.
  • An LQ under 0.8 indicates an industry which is more important in the region than the local area, and may represent an economic weakness or opportunity for growth.

LQs should be analysed in combination with the proportional economic share that industry represents. For example, an industry with an LQ of 2 reveals a specialisation but if that industry only represents 3% of the local economy, it may not be significant. Compare with the figures on the Employment by industry (Total), Employment by industry (FTE), Value added pages for this context.

National Economics (NIEIR) - Modelled series

Did you know? By clicking/tapping on a data row in the table you will be able to see sub categories.
Location quotient
Cradle Coast Region - Domestic (Interregional) Export2015/162010/11Change
Industry
(Click rows to view sub-categories)
%Tasmania %Location Quotient (Tasmania)%Tasmania %Location Quotient (Tasmania)2010/11 to 2015/16
Agriculture, Forestry and Fishing13.110.91.2115.912.71.26-0.04
Mining2.60.73.695.61.44.04-0.09
Manufacturing36.317.12.1234.716.22.15-0.01
Electricity, Gas, Water and Waste Services7.510.50.714.411.10.40+0.80
Construction0.00.0--0.00.0----
Wholesale Trade3.72.21.701.60.91.73-0.02
Retail Trade5.65.51.025.04.91.03-0.01
Accommodation and Food Services3.54.20.835.15.30.96-0.13
Transport, Postal and Warehousing14.86.52.2614.87.42.01+0.12
Information Media and Telecommunications1.18.10.141.26.50.19-0.24
Financial and Insurance Services0.13.90.030.14.50.02+0.14
Rental, Hiring and Real Estate Services0.00.00.510.00.00.71-0.29
Professional, Scientific and Technical Services0.31.00.260.30.90.28-0.10
Administrative and Support Services0.50.22.781.00.33.13-0.11
Public Administration and Safety1.28.40.142.510.90.23-0.38
Education and Training4.17.40.553.56.60.53+0.04
Health Care and Social Assistance3.38.40.393.16.90.45-0.12
Arts and Recreation Services0.63.20.190.62.70.20-0.08
Other Services1.81.90.990.60.80.86+0.15

Source: National Institute of Economic and Industry Research (NIEIR) ©2016. Compiled and presented in economy.id by .id , the population experts.

Data is based on 2014-15 constant prices for all years. NIEIR data are inflation adjusted each year to allow direct comparison, and new data releases normally adjust previous years’ figures to a new base year.

Location quotient by industry sector 2015/16
Location quotient by industry sector 2015/16 Agriculture, Forestry and Fishing for Cradle Coast Region relative to Tasmania location quotient: 1.21 Mining for Cradle Coast Region relative to Tasmania location quotient: 3.69 Manufacturing for Cradle Coast Region relative to Tasmania location quotient: 2.12 Electricity, Gas, Water and Waste Services for Cradle Coast Region relative to Tasmania location quotient: 0.71 Wholesale Trade for Cradle Coast Region relative to Tasmania location quotient: 1.70 Retail Trade for Cradle Coast Region relative to Tasmania location quotient: 1.02 Accommodation and Food Services for Cradle Coast Region relative to Tasmania location quotient: 0.83 Transport, Postal and Warehousing for Cradle Coast Region relative to Tasmania location quotient: 2.26 Information Media and Telecommunications for Cradle Coast Region relative to Tasmania location quotient: 0.14 Financial and Insurance Services for Cradle Coast Region relative to Tasmania location quotient: 0.03 Rental, Hiring and Real Estate Services for Cradle Coast Region relative to Tasmania location quotient: 0.51 Professional, Scientific and Technical Services for Cradle Coast Region relative to Tasmania location quotient: 0.26 Administrative and Support Services for Cradle Coast Region relative to Tasmania location quotient: 2.78 Public Administration and Safety for Cradle Coast Region relative to Tasmania location quotient: 0.14 Education and Training for Cradle Coast Region relative to Tasmania location quotient: 0.55 Health Care and Social Assistance for Cradle Coast Region relative to Tasmania location quotient: 0.39 Arts and Recreation Services for Cradle Coast Region relative to Tasmania location quotient: 0.19 Other Services for Cradle Coast Region relative to Tasmania location quotient: 0.99
Source: National Institute of Economic and Industry Research (NIEIR) ©2016
Compiled and presented in economy.id by .id the population experts
Change in LQ by industry sector, 2010/11 to 2015/16
Change in LQ by industry sector, 2010/11 to 2015/16 Agriculture, Forestry and Fishing, Change: 0 million Mining, Change: -$0.1 million Manufacturing, Change: 0 million Electricity, Gas, Water and Waste Services, Change: +$0.8 million Wholesale Trade, Change: 0 million Retail Trade, Change: 0 million Accommodation and Food Services, Change: -$0.1 million Transport, Postal and Warehousing, Change: +$0.1 million Information Media and Telecommunications, Change: -$0.2 million Financial and Insurance Services, Change: +$0.1 million Rental, Hiring and Real Estate Services, Change: -$0.3 million Professional, Scientific and Technical Services, Change: -$0.1 million Administrative and Support Services, Change: -$0.1 million Public Administration and Safety, Change: -$0.4 million Education and Training, Change: 0 million Health Care and Social Assistance, Change: -$0.1 million Arts and Recreation Services, Change: -$0.1 million Other Services, Change: +$0.2 million
Source: National Institute of Economic and Industry Research (NIEIR) ©2016
Compiled and presented in economy.id by .id the population experts

Dominant groups

A location quotient of greater than 1.2 is generally considered a level of industry specialisation, while a LQ of 0.8 or less indicates an industry which doesn’t have a major presence in the area.

An analysis of domestic (Interregional) export in Cradle Coast Region in 2015/16 shows the three industries with the highest location quotient relative to Tasmania were:

  • Mining (3.7)
  • Administrative and Support Services (2.8)
  • Transport, Postal and Warehousing (2.3)

The three industries with the lowest location quotient relative to Tasmania were:

  • Construction ()
  • Financial and Insurance Services (0.0)
  • Information Media and Telecommunications (0.1)

Emerging groups

Changes in location quotients over time reveal emerging or declining industry specialisations.

The largest changes in the domestic (Interregional) export LQ between 2010/11 and 2015/16 in Cradle Coast Region were for these industries:

  • Electricity, Gas, Water and Waste Services (+0.8)
  • Public Administration and Safety (-0.4)
  • Rental, Hiring and Real Estate Services (-0.3)
  • Information Media and Telecommunications (-0.2)

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