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

 


Rock-star economy unplugged by China log jam

Rock-star economy unplugged by China log jam


The collapse of log prices due to oversupply in China threatens to wash the gloss off what remains of National's so-called rock-star economy, says Labour Leader David Cunliffe.

“Already this year the price of milk solids has plunged by more than 40 per cent. Now the price of raw logs has halved in the past six months, highlighting the risk of exporting so much unprocessed timber.

“Almost half the value has been knocked off our expected future milk and wood export receipts in the last few months and that spells economic gloom.

“The timber industry has already lost 500 jobs in the past few months and thousands more are at risk. Our regions will continue to suffer. The knock-on effects will be felt from our rural centres to our cities.

“New Zealanders who already face rising power bills, rising rents and mortgages, rising costs of basics, and static or declining real-term wages, were told by the Government good times were just around the corner. But now they face a terrible hangover without having been to the party.

“Under this National Government more than 600,000 hectares of forestry land has been approved for sale to overseas interests. And instead of processing timber here – keeping local sawmills open, Kiwis in jobs, and adding value to wood products – we are now exporting more than half our logs as raw product. We are then re-importing dressed timber to rebuild Christchurch.

“That is not rock-star economics.

“Labour’s forestry policy will encourage the journey from volume to value in wood products – through tax deferral, R&D tax credits, security of supply, monetary policy to keep interest rates and the New Zealand dollar lower for longer, and a government pro-wood policy.

“We will reinvest in the regions with a $200 million infrastructure development fund.

“Through industry, investment and innovation, we will encourage the development of a diversified, modern, high-value economy – so that when commodity prices fall and the earthquake insurance checks are spent, our children will still have a future.

“National’s foolhardy, short-term approach – to bet the farm and the forest, or worse, sell it – threatens all our futures. A Labour government I lead will not let that happen,'' David Cunliffe says.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Populism And Labour 2017

For many people on the centre-left, populism is a dirty word, and a shorthand for the politics of bigotry. In this country, it has tended to be equated with the angry legions of New Zealand First. Who knew they were not just a reactionary spasm, but the wave of the future?

Certainly, at the end of this week, the next US President will have won office (at least in part) thanks to his proven ability at (a) scapegoating refugees and migrants (b) wooing neo-Nazis and racial supremacists (c) attacking journalists and judges (d) threatening to jail his opponents (e) urging nuclear proliferation and (e) by promising to restrict women’s rights to control their own fertility.

On the face of that campaign record, there wouldn’t seem to be much in common between Donald Trump and say, Spain’s centre-left populist party, Podemos. Yet arguably, the similarities could be instructive for the Labour/Green partnership here. More>>

 
 

Oxfam: 30% Of NZ Owns Less Wealth Than Our Two Richest Men

The research also reveals that the richest one per cent have 20 per cent of the wealth in New Zealand, while 90 per cent of the population owns less than half of the nation’s wealth. The research forms part of a global report released to coincide with this week’s annual meeting of political and business leaders at the World Economic Forum in Davos, Switzerland. More>>

ALSO:

Hospitals: Resident Doctors Set To Strike Again

Despite discussions between the DHBs and NZRDA over safer hours for resident doctors progressing during the last week, the strike planned for next week appears set to proceed. More>>

ALSO:

Not So Super Fund: More Burning Ethical Questions For Steven Joyce

Greens: Radio New Zealand reported this morning that the New Zealand Superfund has $77 million invested in 47 coal companies that the Norwegian Government’s Pension Fund – the largest sovereign fund in the world – has blacklisted. More>>

Activism: Greenpeace Intercepts World’s Biggest Seismic Oil Ship

Greenpeace crew have made contact with the world’s biggest seismic oil ship after travelling 50 nautical miles on two rigid-hulled inflatables off the coast of Wairarapa... Greenpeace radioed the master of the Amazon Warrior to deliver an open letter of protest signed by over 60,000 New Zealanders. More>>

ALSO:

Gordon Campbell: Why Tax Cuts In 2017 Would Be A (Proven) Bad Idea

Ever since the world fell prey to the mullahs of the free market in the 1980s, no amount of real world evidence has managed dispel one key tenet of their economic faith. Namely, the idea that if you cut income taxes and taxes on small business, a wave of individual enterprise and entrepreneurial energy will thus be unleashed, profits will rise and – hey bingo! – the tax cuts will soon be paying for themselves ... More>>

Liquor Sponsorship: Researchers Call For Ban On Alcohol Sponsorship Of Sport

“Due to alcohol sponsorship of sport, New Zealanders, including children, were exposed to up to 200 ads per hour they watched televised sport, and people watching football and tennis saw alcohol ads for almost half of each game,” says Associate Professor Signal. More>>

ALSO:

Mt Albert: Ardern For Labour, Genter For Greens

At the close of nominations, Jacinda Ardern was the sole nomination received for the position of Labour’s candidate for the Mt Albert by-election, says Labour General Secretary, Andrew Kirton. More>>

ALSO:

Earlier:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news