Parker David: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeParker David: Questions for Oral Answer — Questions to Ministers[Sitting date: 22 May 2014. Volume:699;Page:18248. Text is incorporated into the Bound Volume.]3.Hon DAVID PARKER (Deputy Leader—Labour) to theMinister for Tertiary Education Skills and Employment: Does he agree with the Mayor of Clutha district that the loss of the 180 jobs in the wood processing industry is a “hammer blow” to the region?Hon STEVEN JOYCE (Minister for Tertiary Education Skills and Employment): No. I understand the mayor being concerned at the loss of an employer in his district but despite the tendency of a number of people to talk down the Otago economy the region is doing very well. The latest household labour force survey shows a net increase in Otago of 8000 jobs in the last year—8000 jobs in the last year. Unemployment in the Otago region is one of the lowest in New Zealand at 4.6 percent compared with the national average of 6 percent. The ANZ Regional Trends report released on Tuesday said that Otago has the highest level of business confidence and one of the fastest economic growth rates in the whole of New Zealand. That is not the Opposition’s spin but actually what is happening under this Government.Hon David Parker: Has he not read the ANZ Regional Trends report which for the adjacent province of Southland shows that “Southland recorded the largest decrease in employment dropping 4.0 percent in the quarter to hit a 10-year low. The region’s unemployment rate deteriorated hitting a 10-year high …” or is that just because its local MPs are Bill English and Eric Roy?Hon STEVEN JOYCE: I would have thought that Mr Parker as a former resident of the Otago region would know that the Clutha district is in the Otago region and not in the Southland region but unfortunately Mr Parker is not aware of that which is probably why he was never able to hold on to the seat of Otago—because he never even went there.Hon David Parker: Why has he refused to set any targets for regional development growth in his department’s annual statement of intent?Hon STEVEN JOYCE: Firstly again the member may not be aware but I would have thought he has been around long enough to know that that is developed by the agency not by the Minister. The good news is that every region in the New Zealand economy is growing and every region if he looks at the ANZ Regional Trends is growing strongly. That is the reality. Mr Parker may obsess about writing down a number but the real question and where the rubber meets the road is job growth and GDP growth in the regions. The reality is that we are seeing in Otago very strong growth which is very good for that region and I am very pleased for it. I think it is probably time the Opposition declared an Otago crisis.Hon David Parker: Why has his Government deserted the wood-processing industry nationwide with net job losses of around 3000 since 2008 when those job losses show that the sector so seriously needs an economic upgrade?Hon STEVEN JOYCE: It “so seriously needs an economic upgrade” that an investor went out 2 weeks ago and spent a billion dollars purchasing assets in the forestry processing industry. Of course they see a strong future in that industry and it is ridiculous for the member to suggest that that is otherwise. Yes individual companies have difficulties from time to time and the company that was the subject of this question has had financial difficulties for some time. Mr Parker may be of the view that the Government should rescue every investor from the challenges that they may or may not operate in but this Government knows that the job is actually encouraging investment across New Zealand industries and—Mr SPEAKER: Order! The question is now answered.Hon David Parker: Why is real wage growth forecast to average less than 1 percent—Hon Steven Joyce: Oh rubbish.Hon David Parker: —for the next 3 years according to his own Budget—it is not rubbish—which is lower than increases in GDP per capita and is this because under National the benefits of economic growth can never be expected to flow through to working New Zealanders?Hon STEVEN JOYCE: The member is absolutely wrong. The way you build incomes for New Zealand families is to encourage investment and growth across New Zealand. That is what this Government is doing. We can see that in the growth figures in the export figures and in the employment figures. We can see it in the balance of payment figures. We can see it in New Zealand’s net international liability figures. We can see it across every measure of the New Zealand economy. The Opposition may not like it but actually we are growing incomes for Kiwi families.Clare Curran: What specific actions has he planned to increase the economic value from the volume of the timber and wood-processing industry in Otago and Southland given that his own department says growth in the region “will depend on the application of capital and technology to natural sources.”?Hon STEVEN JOYCE: There is a range of things. I know the member has not read it but we have 350 serious initiatives in the Business Growth Agenda. For example one growing—Hon David Parker: They’re not working.Hon STEVEN JOYCE: They are working—4.6 percent growth in Otago. Oh yes they are working. And the reality is that we have—Clare Curran: I raise a point of order Mr Speaker. With respect my question was regarding specific actions his department would undertake for a specific industry—Mr SPEAKER: Order! The member asked what specific actions and the Minister rose to his feet and said there were 350 of them and talked about the Business Growth Agenda and its application. [Interruption] Order! I am on my feet. On this occasion the Minister has addressed the question.