Business News

Catherine Beard, Executive Director of ExportNZ says it is a huge relief for New Zealand exporters that the Trans Pacific Partnership deal has reached a positive conclusion, despite not getting all we wanted from dairy access. “It is important to remember the significance of the TPP opportunity.” “TPP represents around 40% of world GDP – and our businesses need equal access to those huge markets. New Zealand has more to gain from TPP than most countries because the highest tariffs apply to primary products, which are around two-thirds of our goods exports.” “New Zealand has been trying for years to get competitive access to big markets like the US and Japan, and TPP will open those doors and allow our exporters to compete. ” “TPP will eliminate tariffs on 93 per cent of New Zealand’s exports to the United States, Japan, Canada, Mexico, and Peru, and for that result our negotiators and Trade Minister Groser must be congratulated.” “If we want to have diversified exports – both goods and services, to participate in global value chains and to spread our risk geographically we cannot afford to sit on the side-lines of these sorts of deals.” “Fortress New Zealand is not an option. The world has moved on, business is internationally connected and increasingly borderless and New Zealand needs to be involved”.

The EMA says confirmation that agreement has been reached on the Trans Pacific Partnership is an outstanding achievement. While New Zealand has had to compromise in some areas, the overall result will deliver significant benefits for our economy, says Kim Campbell, CEO, EMA. “This has been a long time coming and it is a momentous occasion to see this get over the line. I have strongly advocated that it’s much better to be part of the deal, than not,” says Mr Campbell. “We look forward to seeing the detail of the agreement. Our negotiators and Trade Minister Groser are to be congratulated on finalising this transformative deal. Overall, we believe this is a significant move for our members, particularly our manufacturing sector. “Like all trade deals, we are confident that as the TPP matures it will contribute positively to New Zealand’s ongoing prosperity. “We already have good free trade agreements with both China and ASEAN, and most recently the Republic of Korea deal was passed. Agreement on the TPP is a significant addition to our suite of trade deals,” says Mr Campbell. The ASEAN agreement is due for review this year, and the Regional Comprehensive Economic Partnership (RCEP) is currently being negotiated. Work is underway on a New Zealand and European Union agreement, as Europe remains New Zealand’s third largest export trading partner and a leading source of imports.

The latest New Zealand Manufacturers and Exporters Association (NZMEA) Survey of Business Conditions completed during September 2015, shows total sales in August 2015 decreased 7.57% (year on year export sales decreased 3.18% with domestic sales decreasing 13%) on August 2014. The NZMEA survey sample this month covered NZ$460m in annualised sales, with an export content of 58%. Net confidence fell to 5, down from 12 in July. The current performance index (a combination of profitability and cash flow) is at 111, up from 107 last month, the change index (capacity utilisation, staff levels, orders and inventories) was at 99, up from 97 in the last survey, and the forecast index (investment, sales, profitability and staff) is at 106.67, down slightly on the last result of 107.33. Anything over 100 indicates expansion. Constraints reported were 71% markets, 19% production capacity and 10% skilled staff. Net 4% of firms reported a modest rise in productivity in August. Staff numbers for August increased 1.31% year on year. Tradespersons, supervisors, managers, professional/scientists and operators/labourers all reported a moderate shortage. “The survey this month was mixed, with year on year sales falling in August after recent increases in July, however performance and forecast indexes still show a positive result,” says NZMEA Chief Executive Dieter Adam. “The number of respondents reporting a rise or fall in sales is evenly split, however the final result is effected by the larger fall in the Oil and Gas markets, both domestically and internationally.” “Manufacturers and exporters are showing increases in profitability and cash flow from a combination of efficiencies, the lower exchange rate and good management. There are also encouraging signs with investment plans, sales and profit forecasts and average selling prices all still in positive territory and continuing the recent upward trend.” “The trend for sales over recent […]

Yamaha Sky Division New Zealand represents the future of the agricultural industry. The introduction of the Yamaha RMAX unmanned helicopters will enable property owners, licensed operators and contractors to maintain the land and crops remotely, from the air, and without the hassles that come with more traditional farming methods. Weighing in at 99kg and at a total length of 3.63m and a height of 1.08m, each helicopter has a load capacity of 28kgs and runs on a 2 stroke, horizontally opposed 2-cylinder engine. The newest member of the Yamaha Sky Division is the ultimate piece of farm machinery for the 21st century. The versatility of this new technology means that operators can spray weeds, crops, or spread seed in a more cost effective and accurate manner. Because RMAX is completely airborne, terrain is no longer an issue. Spraying dangerous aquatic weeds or accessing uneven ground is all part of the package, and can be done in a time efficient way. Liquids and granules can be dispersed across a 400m range from the location of the operator, covering up to 2 acres in just 6 minutes depending on the target and payload. The Yamaha RMAX unmanned helicopter has become the first drone to be certified for flight in New Zealand under Part 102 of the Civil Aviation Rules. Coming into effect in August 2015, the new law establishes a framework for the safe operation of unmanned crafts in New Zealand. Yamaha Motor New Zealand received their operating certificate on the 1st August and wasted no time in conducting its first flight under the new CAA rule regime at its test site near Auckland. A high-performance Global Positioning System (GPS) combined with the Yamaha Attitude Control System makes operation incredibly simple. These sophisticated technologies, combined with a highly capable operator, ensure that […]

Business talent scouts are looking for a startup with the potential to be New Zealand’s next global agritech superstar. Sprout, a national agritech business accelerator, is searching the country for eight budding entrepreneurs with embryonic agritech businesses for a new development programme. The chosen eight will receive a cash injection of $20,000 and be placed in a 20-week part time and remotely delivered programme that will see them flown around the country for mentoring from world-class business and technical experts. The programme will culminate in an opportunity to pitch for investment to a hand picked group of potential investors, business leaders and industry experts. Sprout Programme Manager James Bell-Booth says Sprout wants to grow businesses in their hometowns. “We’re looking for new businesses from around New Zealand that have big ideas but would benefit from the network, expertise and funding to grow globally. Those engaging in the programme have no need to move from their home locality. This initiative is about finding the next global stars, and boosting regional economies at the same time,” he says. Sprout is being supported and funded by a mix of public and private sector leaders in agritech and startup investment, including Callaghan Innovation, Massey University, Gallagher Group, Livestock Improvement Corporation, NZTE, Sir Stephen Tindall’s K1W1 fund, Enterprise Angels and Manawatu Investment Group. The Sprout accelerator programme was designed by BCC, a Palmerston North-based business incubator. Over the last two years BCC has helped establish four globally focused agritech startups, BioLumic, CalfSMART, CropX and Polybatics, which have raised in excess of $15 million in growth capital from New Zealand and overseas investors. Bell-Booth says lessons from those companies successful start up journeys have contributed to the Sprout programme. “Our focus is on helping entrepreneurs grow their startups from great ideas into investment-ready early stage companies,” […]