RDA Yorke and Mid North RegionEconomic profile
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Northern Areas Council area

Location quotient by industry

In 2017/18, Electricity, Gas, Water and Waste Services was a major specialisation in Northern Areas Council area 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

Did you know? By clicking/tapping on a data row in the table you will be able to see sub categories.
Location quotient
Northern Areas Council area - Employment (Total)2017/182012/13Change
Industry
(Click rows to view sub-categories)
%Regional SA %Location Quotient (Regional SA)%Regional SA %Location Quotient (Regional SA)2012/13 to 2017/18
Agriculture, Forestry and Fishing24.616.11.5326.815.31.75-0.12
Mining0.53.90.130.84.60.18-0.23
Manufacturing5.710.00.587.410.90.68-0.15
Electricity, Gas, Water and Waste Services5.41.24.671.51.41.07+3.38
Construction7.37.40.986.76.61.01-0.03
Wholesale Trade4.12.51.645.83.11.87-0.12
Retail Trade10.110.40.9710.810.41.04-0.06
Accommodation and Food Services4.26.70.634.77.00.66-0.05
Transport, Postal and Warehousing5.33.81.384.44.40.99+0.39
Information Media and Telecommunications1.10.81.320.71.00.73+0.81
Financial and Insurance Services1.41.21.221.91.41.40-0.13
Rental, Hiring and Real Estate Services0.11.10.100.31.20.26-0.62
Professional, Scientific and Technical Services1.72.30.732.02.30.87-0.17
Administrative and Support Services1.93.20.582.23.10.71-0.18
Public Administration and Safety4.14.50.923.44.40.78+0.17
Education and Training8.88.01.117.57.11.07+0.04
Health Care and Social Assistance10.212.20.839.411.00.86-0.03
Arts and Recreation Services0.41.20.380.31.20.26+0.45
Other Services3.03.50.853.33.70.91-0.07

Source: National Institute of Economic and Industry Research (NIEIR) ©2018. Compiled and presented in economy.id by .id , the population experts.

NIEIR-ID data are adjusted each year, using updated employment estimates. Each release may change previous years’ figures.Learn more
Location quotient is the percentage of total in the area relative to the same percentage in the selected benchmark area.

Location quotient by industry sector 2017/18
Location quotient by industry sector 2017/18 Agriculture, Forestry and Fishing for Northern Areas Council area relative to Regional SA location quotient: 1.53 Mining for Northern Areas Council area relative to Regional SA location quotient: 0.13 Manufacturing for Northern Areas Council area relative to Regional SA location quotient: 0.58 Electricity, Gas, Water and Waste Services for Northern Areas Council area relative to Regional SA location quotient: 4.67 Construction for Northern Areas Council area relative to Regional SA location quotient: 0.98 Wholesale Trade for Northern Areas Council area relative to Regional SA location quotient: 1.64 Retail Trade for Northern Areas Council area relative to Regional SA location quotient: 0.97 Accommodation and Food Services for Northern Areas Council area relative to Regional SA location quotient: 0.63 Transport, Postal and Warehousing for Northern Areas Council area relative to Regional SA location quotient: 1.38 Information Media and Telecommunications for Northern Areas Council area relative to Regional SA location quotient: 1.32 Financial and Insurance Services for Northern Areas Council area relative to Regional SA location quotient: 1.22 Rental, Hiring and Real Estate Services for Northern Areas Council area relative to Regional SA location quotient: 0.10 Professional, Scientific and Technical Services for Northern Areas Council area relative to Regional SA location quotient: 0.73 Administrative and Support Services for Northern Areas Council area relative to Regional SA location quotient: 0.58 Public Administration and Safety for Northern Areas Council area relative to Regional SA location quotient: 0.92 Education and Training for Northern Areas Council area relative to Regional SA location quotient: 1.11 Health Care and Social Assistance for Northern Areas Council area relative to Regional SA location quotient: 0.83 Arts and Recreation Services for Northern Areas Council area relative to Regional SA location quotient: 0.38 Other Services for Northern Areas Council area relative to Regional SA location quotient: 0.85
Source: National Institute of Economic and Industry Research (NIEIR) ©2018
Compiled and presented in economy.id by .id the population experts
Change in LQ by industry sector, 2012/13 to 2017/18
Change in LQ by industry sector, 2012/13 to 2017/18 Agriculture, Forestry and Fishing, Change: -0.12 Mining, Change: -0.23 Manufacturing, Change: -0.15 Electricity, Gas, Water and Waste Services, Change: 3.38 Construction, Change: -0.03 Wholesale Trade, Change: -0.12 Retail Trade, Change: -0.06 Accommodation and Food Services, Change: -0.05 Transport, Postal and Warehousing, Change: 0.39 Information Media and Telecommunications, Change: 0.81 Financial and Insurance Services, Change: -0.13 Rental, Hiring and Real Estate Services, Change: -0.62 Professional, Scientific and Technical Services, Change: -0.17 Administrative and Support Services, Change: -0.18 Public Administration and Safety, Change: 0.17 Education and Training, Change: 0.04 Health Care and Social Assistance, Change: -0.03 Arts and Recreation Services, Change: 0.45 Other Services, Change: -0.07
Source: National Institute of Economic and Industry Research (NIEIR) ©2018
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 employment (Total) in Northern Areas Council area in 2017/18 shows the three industries with the highest location quotient relative to Regional SA were:

  • Electricity, Gas, Water and Waste Services (4.7)
  • Wholesale Trade (1.6)
  • Agriculture, Forestry and Fishing (1.5)

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

  • Rental, Hiring and Real Estate Services (0.1)
  • Mining (0.1)
  • Arts and Recreation Services (0.4)

Emerging groups

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

The largest changes in the employment (Total) LQ between 2012/13 and 2017/18 in Northern Areas Council area were for these industries:

  • Electricity, Gas, Water and Waste Services (+3.4)
  • Information Media and Telecommunications (+0.8)
  • Rental, Hiring and Real Estate Services (-0.6)
  • Arts and Recreation Services (+0.5)

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