Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

America's Cup Economic Impact Felt Throughout NZ

A report into the economic impact of the 1999-2000 America's Cup Regatta shows that such large-scale events have a spin-off which benefits the whole country, Prime Minister Helen Clark and Minister for the America's Cup Trevor Mallard said today.

Doug Fairgray's report, commissioned by the Office of Tourism and Sport and launched this morning, suggests that the America's Cup regatta generated $640 million of economic activity in New Zealand.

The impact for the Auckland region made up $473 million of the total value added.

"The Report provides a rigorous analysis of the amount and distribution of value added and employment associated with the additional spending generated by the America's Cup regatta," Trevor Mallard said.

"It is a very valuable resource document which helps the Government, the business community, sponsors and suppliers to assess and measure the economic impacts from such a huge international event.

"The government is now working with Team New Zealand to ensure that the next America's Cup regatta is successful, with economic benefits for the whole country."

"The national pride which winning this year's challenge created was evident following the historic win. Doug Fairgray's report illustrates the massive economic spin-offs," said Helen Clark.

"While Auckland gained enormously, it's good to know that the flow-on effects benefited the country as a whole."


Attached: Summary of the report. The full report is available from midday, Thursday 26 October, at www.otsp.govt.nz



TOPLINE RESULTS

Summary of Conclusions

1. The America's Cup Regatta was an important economic event for the Auckland Region and for New Zealand.

2. It generated $640 million of value added in the New Zealand economy.

3. It generated $473 million of value added in the economy of the Auckland region.

4. The Report measures "net" economic activity and does not include expenditure that would have taken place even without the Regatta.

5. The Report is based on 10,600 interviews with international and domestic visitors, 360 business surveys and 70 in-depth interviews with - key informants to help estimate the magnitude and distribution of expenditure for the duration of the event.

6. The Report identified the net additional expenditure in the economy. A share of this is additional direct value added. The study measured the direct value added, and also the flow on effects of this through the economy, to identify total value added – a measure broadly equivalent to GDP. From this, it was possible to identify the total value added generated from the spend by each sector. Major impacts arose from spending by
* Syndicates ($149.2 million)
* Regatta organisers and sponsors activity ($44.3 million)
* Infrastructure & Government ($130.9 million)
* Superyachts ($118 million)
* Media ($12.8 million)
* International Visitors ($164 million)
* Spending by businesses ($20.2 million)

7. The report also identified where the spending was directed, to show the value added impacts generated from the extra activity in each sector of the economy. Major impacts arose from the extra activity:

* Marine sector $126.7 million
* Transport $79.6 million
* Construction $91.7 million
* Accommodation $64.2 million
* Restaurant & hospitality $51.3 million
* Retail $56.8 million
* Entertainment & leisure $33.2 million
* Media & Communications $23.6 million
* Government $34.4 million
* Business & Households $29.9 million
* Other $48.1 million

8. The additional activity sustained 10,620 full time equivalent years of employment in New Zealand.

9. It sustained 8,070 full time equivalent years of employment in Auckland.

10. In addition to a total economic impact of $640 million nationally and $473 million regionally, the Regatta was the catalyst for a number of benefits to Auckland and New Zealand including:
* advertising equivalent" global media exposure
* long term credibility and publicity for the marine sector
* international visitor awareness
* focussing private sector construction investment in the Viaduct Basin area, helping open up the waterfront and supporting regional growth policies of consolidation


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Discussion Doc: National's Primary Sector Plans

Today National has released our third discussion document, this one on the primary sector. It showcases our positive and innovative approach to what is the backbone of our economy, Leader of the National Party Simon Bridges says. More>>

ALSO:

Govt Adopts Working Group Plan: Unions Welcome Film Industry Collective Bargaining

The announcement today by the Minister for Workplace Relations and Safety Iain Lees-Galloway, to support collective bargaining for those working in the film and screen industry, is welcomed. More>>

ALSO:

Greenpeace: New Oil Rig Arrives

A drill rig commissioned by oil giant OMV has arrived in New Zealand, a little over a year after the Government issued a ban on new oil and gas exploration permits... More>>

ALSO:

Proactive Non-Release: Housing Minister Says Unpublished Meeting 'Not A Secret'

Housing Minister Phil Twyford says an error from his office meant a meeting with another minister and the Auckland mayor was not included in his publicly released diaries. More>>

ALSO:

'Signalling Urgency': Auckland Council Declares Climate Emergency

“By unanimously voting to declare a climate emergency we are signalling the council’s intention to put climate change at the front and centre of our decision making,” says Mayor Phil Goff. More>>

ALSO:

Potential Disasters: Insurance Taskforce To Deal With Skyrocketing Premiums

Wellington Mayor Justin Lester said the group would look at how the insurance market was functioning amid massive premium increases, which have also led to claims the market is broken. More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels