For any economy, diversity in the things you make and who you sell to is important to lower risks and ensure a shock resistant and resilient economy. However New Zealand has generally been going in the opposite direction, relying more on a narrow range of simple products, milk powder, meat and logs, and single large market, China.

In the below graph, you can see that both processed...

tags: diversity, exchange rate, currency, exports, dairy, complexity, manufacturing, trade, china

The following was presented to NZMEA members by Rod Oram, at the NZMEA Leaders' Network at BNZ Highbrook in Auckland.

This presentation looks at the current state of our economy, creating value, what we need to do to create sustainable wealth into the future, and the challenges that are faced by...

tags: rod oram, climate change, sustainability, manufacturing, exports, value, wealth, environment, presentation

The election is finally upon us. Tomorrow those who have not already cast their vote will go to the polls. While many will have already decided, it is probably worth having a last think and look at the options as you work through the confusing events of the past weeks.

Elections are often as much about feelings as they are about thinking. The flow chart below walks through a process...

tags: election, vote, economy, policy, act, conservative, greens, internet mana, labour, maori party, national

When considering the policies being proposed this election, it is possible to shopping list the details then try to run a policy by policy analysis - then try to integrate the whole, picking the positives and balancing the negatives, driving a final choice. The problem is this approach takes time and many small trade-offs.

An alternative approach is to look at principles, or at...

tags: complexity, exports, election, policy, tradable, economy, skills, manufacturing

The election is quickly approaching, and campaigns are now in full swing. We have previously covered much of the announcements by the two major parties, so instead this will focus only on the minor parties, and what policies they are promoting to improve conditions for manufacturers and exporters. This will not cover all the parties policies and election promises, but aim to highlight those...

tags: election, act, conservatives, greens, internet mana, maori party, new zealand first, united future, policy

With the election quickly approaching it is a good time to consider the budgets of the two major parties; what are the differences and how will these affect our economy? Although this is only a snap shot of what each Budget covers, the following are some of the most important points for manufacturers and exporters.

The National Party’s Budget focused primarily on being fiscally...

tags: budget, labour, national, election, capital gains tax, callaghan, research, development, r&d, tax credits

Over the past 30 years economic strategy has separated into two broad camps, largely driven by the underlying culture which made the choice. The Anglosphere countries such as New Zealand, the US, Australia, Canada and the UK have followed a deep belief in the primacy of markets, an intent if not the reality of ever smaller governments, lower taxes and an expressed policy emphasis on their...

tags: policy, prosperity, exchange rate, singapore, australia, korea, us, uk, new zealand, economy, currency

One of the keys to New Zealand’s future success will be our ability to move from a producer of low value bulk commodities, to add value and produce elaborately transformed products and associated services. Generally, due in no small part to our policy framework, we have been trending towards less added value and have seen growth in bulk primary products; changing this trend requires...

tags: exchange rate, accelerate depreciation, exports, manufacturing, wiki nz, value

Last week we saw an announcement by the Labour Party called the “Manufacturing economic upgrade”. This picked up on many policies of which the NZMEA has advocated for some time now, and the outcomes of the Manufacturing Inquiry that reported last year. It is vital to all New Zealanders that politicians recognise the importance of our manufacturing sector and establish a policy response to...

tags: manufacturing, labour, exchange rate, exports, added value, niche, capital gains tax, monetary policy, r&d

There has been a lot happening in the policy space recently and some of the conflicting and conflicted interests coupled with short and long term trade offs are being surfaced. Bernard Hickey nails it with the following article, which appeared in Hive News, click here for original article.

...

tags: currency, hive news, bernard hickey, exchange rate, manufacturing, labour, variable savings rate