Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Consumers to Subsidise Fisher & Paykel Shareholder

Import News from the Importers Institute

3 April 2001 - Consumers to Subsidise Fisher & Paykel Shareholders

The government is set to deliver a monopoly of the New Zealand whiteware market to Fisher & Paykel.

The Ministry of Economic Development imposed provisional anti-dumping duties ranging from 25% to 93% on Korean whiteware, at the request of the only local manufacturer.

As every bank manager knows, complaints of "unfair competition" are a sure sign of less than optimal management. In the six months to September last, Fisher & Paykel whiteware's revenue grew by 9.9 percent but margins reduced from 5.2 percent to 3.0 percent. The company attributed the bad performance to currency losses and "quite unrealistic price competition in Australia and New Zealand."

Fisher & Paykel bet on the NZ dollar going up last year. It lost. The company is now asking the government to come to its rescue. Consumers will, of course, bear the costs of reduced competition in the whiteware industry.

The idea that Korean manufacturers are "dumping" their whiteware at a loss for the benefit of New Zealanders is poppycock. The Ministry, however, will have no difficulty in establishing the need for "remedies," using the arcane definitions of our anti-dumping laws.

Importers and retailers of Korean whiteware are now facing substantial losses. As long as protectionist anti-dumping legislation remains in place, any importers who compete with local manufacturers can find their businesses destroyed overnight.

* *

Previous Import News items are published on our Internet site

© Scoop Media

Business Headlines | Sci-Tech Headlines


Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>


Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>


I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>


Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>


Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>


Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news