Executive Director of ManufacturingNZ and ExportNZ, Catherine Beard welcomes the increase in R&D funding from Government.
“We have been urging the Government to keep on increasing investment in R&D. It’s one of the key ways our businesses will be globally competitive. New Zealand has lagged behind in this important area compared to other OECD countries, both in terms of government investment, and private sector investment.
“We are in catch-up mode and it’s great to see the Government recognising this will add value to our exports and grow bigger and more sustainable companies.
“The latest statistics show that between 2012 and 2014, business investment in R&D has increased by 4%, with a big increase in services (19% increase), and of that category, computer services have increased investment by a massive 41%.
“Statistics New Zealand reports that the main motivation for undertaking R&D for business is entry into new markets.
“In a country of small to medium sized firms that are doing battle with much larger competitors in overseas markets, one way to stand out from the competition is through innovation. Innovative products can also command a price premium which is increasingly important with a high NZ dollar.”