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Huge opportunities for NZ Defence industry

Huge opportunities for NZ Defence industry

The Government’s planned investment in Defence over the next 15 years represents a huge opportunity for New Zealand companies, says Defence Minister Mark Mitchell.

Mr Mitchell told Defence industry representatives last night that the country needs a Defence Force that is equipped and supported to respond to a rapidly changing strategic environment.

“This requires investment. Over the next 15 years, the Government will invest up to $20 billion in new and upgraded military capability, including replacement of all our major platforms and the regeneration of the Defence estate.

“We have many companies in the Defence sector who are themselves investing and innovating in their areas of expertise. The Government’s investment in Defence promotes growth in the sector, creates jobs and means that the industry will have every chance to build on its achievements.

“While we are not builders of warships or military aircraft, New Zealand companies can support those capabilities with world-class products and systems, and also support them through life,” Mr Mitchell says.

“For every dollar spent on a new capability, four is spent supporting it through life, the bulk of which is spent locally.

“Each year the New Zealand Defence Force spends $600 million on maintenance and repair, training, and other commercial services.

“The Government is committed to ensuring New Zealand companies are given every opportunity to compete for a share of the investment in Defence.

“The products and services New Zealand companies produce are recognised as world-class, and where they can reduce the cost ownership for the Government we need to support them,” Mr Mitchell says.

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