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

 


Loss of value-add holding back NZ exports

27 March 2014

Loss of value-add holding back NZ exports

Despite record commodity prices, New Zealand’s exports are falling short of their potential as manufactured exports fall, Green Party Co-leader Dr Russel Norman said today.

New figures from Statistics New Zealand show that the value of milk powder and log exports increased rapidly in recent years but those gains have been largely offset by the big decline in the value of manufactured and other exports.

“In government, the Greens will focus on adding more value to our exports. We should be exporting high-value, high-tech goods made from the resources that we produce. That would create jobs and wealth here in New Zealand. Instead, we are just exporting those raw commodities and letting other countries capture the value of manufacturing them,” said Dr Norman.

“Despite the surge in commodity export revenue, the inflation-adjusted value of exports has risen by just 4% since John Key came to power. Rising commodity prices have increased revenue from milk powder and logs but the value of all our other exports has plunged.

“National is nowhere near on track to meet its goal of increasing exports to 40% of GDP by 2025.

“Manufactured exports are down 20% under National, including a 4% fall in the past year.

“National seems to think we can just ride on a wave of rising commodity prices forever but, as the recent fall in milk prices shows, that wave will break sooner or later. When commodity prices fall, we’ll find that the value-add parts of our economy are a shadow of their former selves.

“If we want a truly prosperous and environmentally sustainable New Zealand, we need smart, modern manufacturing and other high-value sectors. We can’t just rely on China having an unending appetite for our milk and logs.

“The Greens will support high-value manufacturing by working to get the dollar down to a fair level. We will support Kiwi manufacturers by ensuring that the government buys Kiwi-made when it can. The Greens will support innovation by investing in research and development and through measures such as our Structural Timber Award.

“The Greens’ plan will create high-skill, high-wage jobs and mean that New Zealand earns more for its exports while doing less harm to the environment,” said Dr Norman.


Additional information:

inflation-adjustedMilk powder and logsManufactured exportsTotal exports
Year to November 2008$ 7,485,205,405 $ 13,777,438,491 $ 47,743,228,690
Year to February 2013$ 9,792,462,267 $ 11,598,265,382 $ 46,745,802,979
Year to February 2014$ 13,230,677,303 $ 11,086,557,551 $ 49,710,694,687
Change: Nov 08-Feb 14$ 5,745,471,898-$ 2,690,880,939 $ 1,967,465,997
Change: Feb 13-Feb 14$ 3,438,215,036-$ 511,707,831 $ 2,964,891,708
Change: Nov 08-Feb 1477%-20%4%
Change: Feb 13-Feb 1435%-4%6%

Source: Statistics New Zealand

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Half Empty: Dairy Prices Drop To Lowest Since August 2009

Dairy product prices fell to the lowest level in more than five years in the latest GlobalDairyTrade auction, led by declines in butter milk powder and whole milk powder.

”Stocks of dairy commodities are building across the globe due to Russia’s current ban on importing dairy products from many Western nations, and a lack of urgency from Chinese buyers, while at the same time global milk supplies are expanding,” AgriHQ dairy analyst Susan Kilsby said in a note. More>>

 

Slippage: NZ Universities Still In Top 3% Globally

This year the University of Auckland ranked 175 (down from 164 last year); the University of Otago ranked 251-275th (down from 226-250), both Victoria University of Wellington and the University of Canterbury held their ranks (at 276-300thand 301-350 respectively), while the University of Waikato dropped from 301-350 to 351-400. More>>

ALSO:

Gordon Campbell:
On The Last Rites For The TPP

The Trans Pacific Partnership trade deal is one of those litmus issues that has always had more to do with one’s place on the political spectrum than with any imminent reality... For the TPP’s friends and foes alike though, the end now seems nigh. More>>

Gordon Campbell: On The Farcical Elevation Of David Seymour

With the election won, it’s time to find jobs for the boy. David Seymour is the Act Party’s latest scrounger to be rewarded by the National Party, and not only with a seat in Parliament. More>>

ALSO:

As Key Mulls Joining ISIS Fighting: McCully Speech To UN Backs Security Council Bid

It is an honour to address you today on behalf of the Prime Minister and Government of New Zealand. Our General Election took place last week - our Prime Minister Rt Hon John Key is engaged in forming a government and that is why he is unable to be here in New York... More>>

ALSO:

Labour: Cunliffe Triggers Party Wide Leadership Contest

David Cunliffe has resigned as Labour Leader, but says he will seek re-election... If there is any contest the election will have to go through a process involving the party membership and union affiliates. More>>

ALSO:

Flyover Appeal: Progress And Certainty, Or Confusion And More Delays?

Lindsay Shelton: The Transport Agency, embarrassed by the rejection of its flyover alongside the Basin Reserve, says it’s appealing because the decision could “constrain progress.” Yet for most clear-sighted Wellingtonians a 300-metre-long concrete structure above Kent and Cambridge Terraces would in no way be seen as progress… More>>

ALSO:

Gordon Campbell: On Cunliffe’s Last Stand

Right now, embattled Labour leader David Cunliffe has three options. None of them are particularly attractive for him personally, or for the Labour Party... More>>

ALSO:

Key Seeking 'New Ideas': Look To Children’s Commissioner On Poverty - Greens

John Key should not reinvent the wheel when it comes to ideas for tackling child poverty, and instead look to the recommendations of the Children’s Commissioner’s Expert Group on Child Poverty, Green Party co-leader Metiria Turei says. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news