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

 


Scale up or Die

Friday 16 November 2012


Scale up or Die


Today we're launching a new report Lifting Export Performance, carried out for ExportNZ by the New Zealand Institute of Economic Research. It shines a light on what is holding New Zealand back, the effectiveness of export policies, and how best to move forward.

It's a sobering reality check on the state of the nation’s export performance and how vital it is to get the policy framework right.

The main focus is addressing New Zealand’s big issues – its smallness and isolation.

One of the obvious ways to overcome these problems is to make New Zealand a bigger country with bigger companies.

Once grown, the challenge is then keeping companies of scale in New Zealand so the country benefits from them. The alternative is selling out to other countries and losing talent overseas for better jobs and better pay.

The report outlines a variety of issues New Zealand policymakers and firms need to address now and into the future.


Key points:

Download the report [1.3MB]


• The government is already doing a lot to support export capability. We need to assess the effectiveness of existing policies and programmes before throwing more money at the problem. Let’s aim to do a few things really well rather than spreading the capability spending too thinly.

• Part of the reason for the high exchange rate is that growth in government social spending tends to favour domestic consumption instead of saving and investment. On-going efforts to cut less vital spending like Working for Families and interest-free student loans will ease the pressure on the Kiwi dollar.

• Public spending has acted like a tax on the export sector. During the 2000s the Government administration share of GDP grew by 60%, driving up the demand for labour and sucking resources away from businesses that were already struggling to grow.

• New Zealand needs to hold a serious debate about its optimal population. NZIER is on the record as saying that 15 million by 2060 would be a good start.

• There is merit in investigating policies to reward high-performing firms that retain capability in New Zealand rather than move offshore.

• Regulatory risks around the primary sector won’t go away: New Zealand primary exporters need to front-foot these issues so that unnecessarily draconian policies aren’t imposed upon them that would restrict their efforts to grow and export.

• New sources of scale could come from the minerals sector and Māori-owned businesses.

• Smaller New Zealand companies need to collaborate onshore to compete offshore.

I look forward to working with all stakeholders to use this report’s findings to help develop New Zealand into a bigger, more successful exporting nation; better able to offer interesting and competitively paid jobs to future generations.
ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Cosmetics & Pollution: Proposal To Ban Microbeads

Cosmetic products containing microbeads will be banned under a proposal announced by the Minister for the Environment today. Marine scientists have been advocating for a ban on the microplastics, which have been found to quickly enter waterways and harm marine life. More>>

ALSO:

NIWA: 2016 New Zealand’s Warmest Year On Record

Annual temperatures were above average (0.51°C to 1.20°C above the annual average) throughout the country, with very few locations observing near average temperatures (within 0.5°C of the annual average) or lower. The year 2016 was the warmest on record for New Zealand, based on NIWA’s seven-station series which begins in 1909. More>>

ALSO:

Farewell 2016: NZ Economy Flies Through 2016's Political Curveballs

Dec. 23 (BusinessDesk) - New Zealand's economy batted away some curly political curveballs of 2016 to end the year on a high note, with its twin planks of a booming construction sector and rampant tourism soon to be joined by a resurgent dairy industry. More>>

ALSO:


NZ Economy: More Growth Than Expected In 3rd Qtr

Dec. 22 (BusinessDesk) - New Zealand's economy grew at a faster pace than expected in the September quarter as a booming construction sector continued to underpin activity, spilling over into related building services, and was bolstered by tourism and transport ... More>>

  • NZ Govt - Solid growth for NZ despite fragile world economy
  • NZ Council of Trade Unions - Government needs to ensure economy raises living standards
  • KiwiRail Goes Deisel: Cans electric trains on partially electrified North Island trunkline

    Dec. 21 (BusinessDesk) – KiwiRail, the state-owned rail and freight operator, said a small fleet of electric trains on New Zealand’s North Island would be phased out over the next two years and replaced with diesel locomotives. More>>

  • KiwiRail - KiwiRail announces fleet decision on North Island line
  • Greens - Ditching electric trains massive step backwards
  • Labour - Bill English turns ‘Think Big’ into ‘Think Backwards’
  • First Union - Train drivers condemn KiwiRail’s return to “dirty diesel”
  • NZ First - KiwiRail Going Backwards for Xmas
  • NIWA: The Year's Top Science Findings

    Since 1972 NIWA has operated a Clean Air Monitoring Station at Baring Head, near Wellington... In June, Baring Head’s carbon dioxide readings officially passed 400 parts per million (ppm), a level last reached more than three million years ago. More>>

    ALSO:

    Get More From Scoop

     
     
     
     
     
     
     
     
    Business
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news