In November 1971, the Advisory Council decided to establish a committee, known as the CSIRO Secondary Industry Committee, to review the present relationships between CSIRO and secondary industry and to report on future developments in this field.

The terms of reference emphasized such areas as communications and information transfer, patents, licences, collaborative research projects, research contracts, liaison, advisory and consultative services, the use by industry of specialized capital equipment in CSIRO and the identification of organizational and operational features which may inhibit the discharge of responsibilities under the Science and Industry Research Act, 1949-68.