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Economic transformation objectives

15 June 2004

Economic transformation objectives key to understanding Budget 2004

Budget 2004 included a significant amount of investment in programmes designed to promote the transformation and strengthening of the economy because the government knows that social and economic progress go hand in hand, Jim Anderton said today.

Speaking at the first annual general meeting of Textiles New Zealand, the Economic Development Minister recounted that when the Labour Progressive government began working in partnership with the textiles, clothing and footwear sector, Textiles New Zealand came forward with a proposal to genuinely lift the prospects of the industry.

The TCFC sector’s exports are currently valued at $439 million a year and Textiles New Zealand is aiming to facilitate industry development so that the sector will be generating annual exports of $1 billion by 2008 with an annual growth rate of 12.6%.

Their plans require investment in skills development and in R&D and it also requires commitment from the broader industry to the Textiles NZ Business Plan now being implemented.

"In this year’s budget, the coalition government started to deliver on the Central Government's end of this partnership.

"The budget included new funding of $2.3 million for initiatives to build skills and assist in the TCFC industry’s transition and transformation," the Progressive leader said.

Jim Anderton said he expects the investment in the sector will help to transform the industry into an even more globally competitive, high-value sector.


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