Shire of Augusta-Margaret River

Location quotient by industry

In 2022/23, Agriculture, Forestry and Fishing was a major specialisation in the Shire of Augusta-Margaret River in terms of Employment (Total).

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

Data source

National Economics (NIEIR) - Modelled series

Current benchmark:
Comparison year:
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Location quotient
Shire of Augusta-Margaret River - Employment (Total)2022/232016/17Change
Industry (Click rows to view sub-categories)%. Western Australia%Location Quotient Western Australia%. Western Australia%Location Quotien Western Australia2022/23 - 2016/17
Agriculture, Forestry and Fishing10.62.15.0711.42.74.31+0.18
Electricity, Gas, Water and Waste Services0.41.40.330.71.30.49-0.32
Wholesale Trade1.72.80.622.12.90.74-0.16
Retail Trade10.58.31.2711.99.61.24+0.02
Accommodation and Food Services13.46.22.1513.56.62.03+0.06
Transport, Postal and Warehousing2.35.10.452.34.90.46-0.04
Information Media and Telecommunications0.51.10.430.41.20.31+0.41
Financial and Insurance Services0.92.30.400.92.40.39+0.02
Rental, Hiring and Real Estate Services1.41.60.882.01.71.16-0.24
Professional, Scientific and Technical Services4.57.50.604.16.80.60-0.01
Administrative and Support Services4.92.91.705.03.21.55+0.09
Public Administration and Safety3.25.90.542.86.10.45+0.20
Education and Training9.
Health Care and Social Assistance9.513.40.717.711.80.65+0.08
Arts and Recreation Services2.
Other Services4.
Total Industries1001001.00100100+1.000

Source: National Institute of Economic and Industry Research (NIEIR) ©2024. ©2023. Compiled and presented in by .id (informed decisions). NIEIR-ID data are adjusted each year, using updated employment estimates. Each release may change previous years’ figures. Learn more

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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 employment (total) in the Shire of Augusta-Margaret River in 2022/23 shows the three industries with the highest location quotient relative to Western Australia were:

  • Agriculture, Forestry and Fishing (5.1 )
  • Accommodation and Food Services (2.1 )
  • Administrative and Support Services (1.7 )

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

  • Financial and Insurance Services (0.4 )
  • Electricity, Gas, Water and Waste Services (0.3 )
  • Mining (0.1 )

Emerging groups

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

The largest changes in the employment (total) LQ between 2016/17 and 2022/23 in the Shire of Augusta-Margaret River were for these industries:

  • Mining (+0.6)
  • Information Media and Telecommunications (+0.4)
  • Electricity, Gas, Water and Waste Services (-0.3)
  • Other Services (+0.2)

Shire of Augusta-Margaret River

economic profile