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

 


Overcoming distance to improve productivity

16 April 2014

Overcoming distance to improve productivity

New Zealand’s productivity paradox shows more work is needed to overcome our key disadvantages, says BusinessNZ.

New research by the Productivity Commission reveals the paradox that New Zealand’s reasonably robust policy settings should mean productivity growth 20% higher than the OECD average, when it is actually 20% below the OECD average.

The research shows two key reasons for New Zealand’s low productivity growth are poor international connections and poor performance in knowledge-based business.

BusinessNZ Chief Executive Phil O’Reilly says our distance from large markets affects both of these, making it harder to achieve international connections and harder to learn from new knowledge-based advances in overseas markets.

“But we can do better in overcoming the disadvantage of distance,” Mr O’Reilly said.

He said moves already underway – including more NZTE support for exporters and exporters working together to better penetrate overseas markets – would help grow connectivity over time, and better use of ICT would be a key way of improving connectedness and performing better in knowledge-based business. Callaghan Innovation would also have an increasing role to play in facilitating knowledge-based businesses.

“It will be important for us to maintain and grow our efforts across a range of initiatives, including completing more trade agreements, investing more in applied skills and helping more businesses to participate in global supply chains. These will be useful policy considerations for all parties contesting the coming election.

“Higher productivity growth is essential for competitiveness and the Productivity Commission’s analysis is helpful in focusing us all on this key area,” Mr O’Reilly said.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Budget Policy Statement: Spending Wins Over Tax Cuts; Big Ticket Items Get Boost

Income tax cuts are on hold as the government says “responding to the earthquakes and reducing debt are currently of higher priority”, although election year tax sweeteners remain possible. More>>

ALSO:

Fishy: Is Whitebaiting Sustainable?

The whitebait fry - considered a delicacy by many - are the juveniles of five species of galaxiid, four of which are considered threatened or declining. The SMC asked freshwater experts for their views on the sustainability of the whitebait fishery and whether we're doing enough to monitor the five species of galaxiid that make up whitebait. More>>

ALSO:

Crown Accounts: Smaller-Than-Expected Four-Month Deficit

The New Zealand government's accounts recorded a smaller-than-forecast deficit in the first four months of the fiscal year on a higher-than-expected inflow of corporate and goods and services tax. More>>

ALSO:

On For Christmas: KiwiRail Ferries Back In Full Operation After Quake

KiwiRail’s Interislander ferries are back in full operation for the first time since the Kaikoura earthquake, with the railspan that allows rail wagons to be loaded on the Aratere now restored. More>>

ALSO:

Comerce Commission Investigation: Prosecutions Over Steel Mesh Labelling

Steel & Tube Holdings, along with two other companies, will be prosecuted by the Commerce Commission following the regulator's investigation into seismic steel mesh, while Fletcher Building's steel division has been given a warning. More>>

ALSO:

Wine: 20% Of Marlborough Storage Tanks Damaged By Quake

An estimated 20 percent of wine storage tanks in the Marlborough region, the country’s largest wine producing area, have been damaged by the impact of the recent Kaikoura earthquake. More>>

ALSO:

ACC: Levy Recommendations For 2017 – 2019 Period

• For car owners, a 13% reduction in the average Motor Vehicle levy • For businesses, a 10% reduction in the average Work levy, and changes to workplace safety incentive products • For employees, due to an increase in claims volumes and costs, a 3% increase in the Earners’ levy. More>>

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news