At first glance, the Hunter region is best known for its vineyards and coal exports. But according to Regional Development Australia (RDA) Hunter CEO and Director Kate O’Mara, the story unfolding across the region today is far more complex and forward-looking.
Stretching roughly 160 kilometres north of Sydney, the Hunter is home to about 710,000 people across nine local government areas. More than half of the population lives in the Lower Hunter, including Newcastle, Lake Macquarie, Maitland, Port Stephens and Cessnock, yet the region extends inland to the Upper Hunter, encompassing towns such as Singleton and Muswellbrook.
Despite its reputation as a traditional industrial heartland, the Hunter has quietly grown into one of the largest regional economies in Australia.
“According to most sources we’re Australia’s largest regional economy, second only to the Pilbara in some measures,” O’Mara says. “The regional economy is worth around $74 billion and it’s underpinned by a really diverse industry base.”
Mining and energy remain central pillars, but manufacturing, defence, agriculture and tourism also play significant roles. Around 17,000 people still work in manufacturing, while the region hosts key defence infrastructure including RAAF Base Williamtown, home to Australia’s F-35 fighter fleet.
Agriculture is equally important. The Hunter exports cattle, milk and poultry, while its globally recognised equine industry accounts for roughly 80 per cent of Australia’s stud horse exports.
“We’ve also got strong capability in equine research and facilities connected to that industry,” O’Mara says. “And of course viticulture and wine tourism, which is what most people recognise the Hunter for.”
Yet while the region’s legacy industries remain strong, much of RDA Hunter’s work focuses on preparing for what comes next.
Building the workforce pipeline
One of the organisation’s longest-running initiatives is the ME Program, a partnership between schools and defence industry designed to build the region’s future STEM workforce.
The program, which began in 2009, encourages students to pursue science, technology, engineering and mathematics subjects by showing them how these skills translate into real careers.
With defence projects in the Hunter expected to run for decades, the need for a long-term workforce pipeline is clear.
“These projects can run up to 70 years,” she says. “So, there’s a need to start early and help young people understand the opportunities that exist here.”
The program now works with more than 30 partner schools and about 20 industry partners, including major global defence contractors such as BAE Systems, Lockheed Martin and Boeing Defence Australia.
Over its 16-year history, around 90,000 students have taken part.
Students visit defence workplaces, participate in innovation challenges and connect classroom learning with real-world engineering and technology.
“A big part of our work is helping them understand what the jobs actually are,” O’Mara says. “Sometimes students look at maths or physics and wonder what they’ll ever do with it. We’re showing them how those subjects connect to incredible work happening in their own region.”
Growing a new med-tech sector
While defence remains a key driver, RDA Hunter is also focused on economic diversification.
One emerging opportunity is health and medical technology, a sector that has grown organically in the region over the past decade.
Health and social assistance is already the Hunter’s largest employer, with nearly 70,000 workers across hospitals, research institutes and health services.
Recognising this potential, RDA Hunter began bringing companies together in 2020 to explore collaboration opportunities.
The result is the Health & Medtech Industry Cluster (HMIC), an informal network that now includes around 110 companies and more than 200 industry participants.
“We realised there were a lot of companies already working around health and med-tech, but they weren’t necessarily connected,” O’Mara says.
“Our role has been to coordinate the sector, help people collaborate and identify opportunities for growth.”
The cluster brings together businesses, the University of Newcastle, the Hunter Medical Research Institute and local health services to explore innovation opportunities, from new medical devices to clinical trials.
For O’Mara, the initiative is about positioning the region for a future beyond traditional industries.
“We’re trying to map the capability of companies already operating here and match that with opportunities in health,” she says.
“A company that currently supplies mining or defence might be able to pivot slightly and produce something for the health sector.”
Infrastructure for the energy transition
RDA Hunter is also working with neighbouring RDA Orana on a major infrastructure challenge tied to Australia’s energy transition.
As renewable energy zones (REZ) expand across inland New South Wales, enormous wind turbine components arriving through the Port of Newcastle must be transported hundreds of kilometres inland.
The solution lies along the Golden Highway, a key freight corridor connecting the Hunter to the state’s emerging renewable energy regions.
“We’re working with RDA Orana and with government to ensure that the infrastructure along that corridor can handle the transport of these turbines,” O’Mara says.
“It’s about making sure the equipment coming through the port can physically get to where it needs to go.”
The project highlights the Hunter’s evolving role in Australia’s clean-energy future, transforming a region long associated with coal exports into a critical gateway for renewable infrastructure.
Keeping talent in the region
Across all of these initiatives, a common theme emerges: keeping young talent in the Hunter.
For O’Mara, regional development is ultimately about people.
“To innovate and grow as a region, we rely on people,” she says. “We want young people to understand there are opportunities here and that they don’t have to leave to build a great career.”
From fighter jets to med-tech labs and renewable energy corridors, the Hunter’s next chapter is already taking shape, one collaboration at a time.
Watch the full conversation with Kate O’Mara.