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Economic Development Newsletter 8 May / Issue 3

Economic Development
Creating Security and Opportunity for New Zealanders

A regular newsletter from the Office of the Deputy Prime Minister, Jim Anderton, Minister for Economic, Regional and Industry Development, summarising Government economic development activities.

8 May 2001 / Issue No 3

This issue of Economic Development:
1. Jim Anderton, comments on Conclusions from Ministerial regional visits
2. Regional Partnerships announced.
3. NZ Fashion Week latest major event
4. Wood Processing Industry Steering Group
5. Manufacturing Industry Steering Group
6. Other industry Steering groups
7. Enterprise Awards Scheme– Round 5
8. Economic Development support for fire damage in Marlborough
9. Economic Development contact details

1 Jim Anderton, Deputy Prime Minister, comment
Conclusions from Ministerial regional visits

Last week I visited Dunedin which was my 33rd regional visit since becoming the Minister for Industry and Regional Development. During April I also toured Taumarunui and Wairarapa.

In Otago I was able to tell business leaders we have made great progress through these regional visits. There are still some regions I have yet to fully cover, while there are some that I have visited more than once.

We have already started work and are well on the way in many regions and areas, particularly where jobs and skills are most needed.

The approach that has emerged from meeting with people across New Zealand is to:
a) Develop partnerships so that regions and industries can work together with the 'whole-of-government' to develop our economic base and create jobs.
b) Ensure that industry and regulatory road blocks and barriers to growth are addressed.
c) Develop a culture of success where New Zealanders who are making a difference can be supported and recognised.

I will be returning to some of these themes in the budget, which will be announced on 24 May. A special Budget issue of this newsletter will be sent out on 25 May.

What continues to impress me are the ideas and expertise that New Zealanders have. There is an opportunity to capture this talent and make New Zealand the best country it can possibly be.

Jim Anderton MP
Minister for Economic, Industry and Regional Development

Summary of a month of economic development:
2 Regional Partnerships announced

The latest regions funded in the third round of the Regional Partnerships Programme of Industry New Zealand are:
* West Coast $100,000
* Otago $100,000
* Taranaki $94,000
* Waikato $30,375
* Waitomo/ King Country $55,000
*Coromandel/Hauraki/Matamata /Piako $88,000

Up to $200,000 is available to assist regions to make economic development plans and build their capacity to implement those plans.
Further funding of up to $2 million per region is available to contribute to major regional initiatives that come out of the plans.

A total of nearly $1,300,000 has now been approved to support regions since the scheme was launched last year.

3 Fashion week another international event for NZ

Industry New Zealand is funding $112,000 for the Fashion Week in October. The funding is another example of a Government Industry partnership to build on an export market already worth $220 million per annum to New Zealand.

"We need to see more international events in New Zealand. Other countries around the world are working to hold major events every week and New Zealand must ensure we are not left behind," said Jim Anderton.

Fashion week highlights the potential of the fashion and apparel sector for a development strategy.

4 Update on Wood Processing Industry Steering Group

The Wood Processing Industry Sector Group chaired by Jim Anderton has agreed on a work programme.

Issues in the work programme include:
* Employment, Skills and Training – Actions to address forestry labour and skills shortages have been developed and are ready for implementation.
Industry will need to look at career structures, training opportunities and apprenticeships.
Government is discussing issues related to training programmes and measures it is involved in.
* Resource Management Act - Projects have been started that will identify how the RMA process can deliver results as quickly as possible, while maintaining the integrity of the RMA.
* Tairawhiti infrastructure - a report is due soon on roading/port/rail options for Tairawhiti. This will identify what needs to be done, how much it will cost and the responsible agencies for each part of the work.

5 Update on Manufacturing Industry Steering Group
"An excellent start to addressing barriers to developing our manufacturing industry", is how Jim Anderton described the first meeting of the manufacturing Industry Sector Steering Group held on 24 April at Vogel House.

"Members of the industry are committed to creating jobs and doing their best to improve New Zealand's economy," said Jim Anderton.

Over 20 sector and government representatives met at Vogel House in constructive discussions. The agenda included presentations on the manufacturing industry, and looking at barriers such as infrastructural and compliance costs.

The industry development programme fits alongside the Business Forums that have been run in Auckland, Hamilton, and Christchurch.

6 Other Industry Steering Groups

No other Industry Steering groups have met as yet but progress on a Textile, Clothing and Footwear Industry process is likely to be announced in May and background papers are being prepared on the Creative Arts Industry.

Other industries that will be addressed are tourism, and knowledge industries such as ICT and bio-technology.

These are seen as job-rich, high-skill and high-value export industries with the potential for rapid growth.

7 Thirty grants in Round 5 of the Enterprise Award Scheme

Hon Pete Hodgson and Hon Matt Robson have visited award winners in the fifth round of the Enterprise Award Scheme.

Hon Pete Hodgson visited IBVT networks who are making information kiosks in Dunedin while Matt Robson visited Springbelt Concepts and saw their revolutionary new seatbelts for industrial vehicles and tractors which are being welcomed by safety experts.

There were 30 grants in the fifth round of Enterprise Award Scheme, bringing the total grants awarded to 140.

Agencies working with entrepreneurs and businesses who might be eligible for Enterprise Awards should look at the details of the scheme on www.industrynz.govt.nz for more details.

Jim Anderton announced the fifth round of Enterprise Awards on 7 May 2001. He said "I am pleased to see that this round has a grant to a theatre company. Indian Ink, the production company responsible for Krishnan's Dairy and other stage plays, will received an award of $8,800.

"There is also an award for Al Fresco gardening and lifestyle Magazine to investigate regional inserts tailored to each region's gardening information needs.

"Creative Industries are a priority under this Labour Alliance Coalition Government and Economic Development staff are preparing papers on ways that music and other creative groups can be assisted. The Irish music industry earns $600 million of foreign exchange a year and New Zealand has the talent and skill to do better than we have been doing".

Northland:
Limelight Media, $5,000 to assist in regional inserts for Alfresco magazine.
Bay Flora Ltd, $5,000, testing appropriate plant species for business.
Auckland:
Enclosure Technology Ltd, $2,250, prototype of enclosures rack for broadcasters.
Richard's Kitchen, $1,200, Intellectual property protection for cooking device.
Indian Ink Ltd, $8,800, marketing reasearch.
Springbelt Concept Ltd, $7,923, new safety belt for construction industry.
Feral R&D Ltd, $5,000, feral animal trap.
Mega Tech Ltd, $8,275, Sheep milk processing enterprise.
Honeycreme Ltd, $8,438, New markets for honey based beauty products.
South Pacific Software Ltd, $2,352, cellphone management software development.
BDG Ltd, $5,000, Business training programme development.
Technology Development Group, $9,728, Personal development software marketing.
SRB Pacific, $8743, Intellectual property for a bicycle attachment.
Waikato
S&E Burke, $6,362, Research uses for shellfish waste.
Rennacs Ltd, $6,350, Automobile testing system.
Bay of Plenty
Blended Fertilisers Ltd, $8438, new market exploration.
Ice Air Ltd, $1,407, intellectual property protection.
Hawkes Bay
Coach House Gardens Ltd, $5,000, Feasibility study to investigate availability of groundwater for horticulture.
Manawatu-Wanganui
Canvasland Holdings Ltd, $5,000, develop a soft-edge trampoline.
Coldotz Enterprises Ltd, $7,102, traction devices for workboots.
Tuff-Lite Ltd, $3,100, Intellectual property for a trailer.
Flexisolutions Ltd, $5,000, developing a multi-projectile.
Wellington
Inifet Solutions Ltd, $10,000, develop marketing strategies for knowledge management system.
3D Achieve Ltd, $4,888, small business management software.
Biza2z Ltd, $2,250, development of business management system.
Canterbury
Softech Design Ltd, $2,000, Developing an ergonomic computer mouse.
Idea Unique, $5,519, develop international advertising and design agency.
Geddes Manufacturing Ltd, $10,000, new markets for TV and audio cabinets.
Otago
Condensation Control Ltd, $2,813, air filter development for household ventilation.
IBVT Networks Ltd, $6,266, Internet based information kiosks.

8 Economic Development support for fire damage in Marlborough

On 17 April Jim Anderton, along with Minister of Agriculture Jim Sutton and the Minister for the Environment Marian Hobbs, announced the Government would provide a total of $555,000 to rehabilitate land in Marlborough's Wither Hills and Awatere Valley, devastated by fire in late December. The funding included $390,000 from Economic Development and $165,000 from Agriculture and represented 60 per cent of what local people asked for.

The money will be used to re-seed fire-damaged pasture and soil conservation plantings and structures both within the Wither Hills Catchment Control Scheme area and on land in the adjacent Awatere Valley.

"This area has profound economic development issues as a result of the combined effects of both fire and drought," Jim Anderton said. "The threat of erosion could lead to flooding and this poses a serious economic threat to Marlborough's economy, particularly wine and tourism companies".

9 Economic Development contacts:
www.executive.govt.nz/minister/anderton/index.html
www.industrynz.govt.nz
www.med.govt.nz
www.bizinfo.co.nz 08004BIZINFO
Venture capital information www.vcapital.co.nz 0800VCAPITAL
www.alliance.org.nz


***********************************************************************
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