Copeland Gordon: Questions for Oral Answer — Questions to Ministers 
Copeland Gordon: Questions for Oral Answer — Questions to Ministers 
[Volume:606;Page:3556] 
4.  
GORDON COPELAND (United Future) 
 to the  
Minister for Economic Development 
: Does the Government support initiatives to stimulate the domestic economy? 
Hon JIM ANDERTON (Minister for Economic Development) 
: 
 Yes. The 2002-03 Budget allocated over $100 million on Vote Economic Industry and Regional Development as well as hundreds of millions of dollars in scientific research and development programmes through Crown research institutes and other Government agencies. This investment allows for the provision of independent policy advice to the Government from the Ministry of Economic Development on ways to facilitate regional economic and industry development. The money also funds the operationally independent Industry New Zealand. Industry New Zealand as the member knows delivers programmes and services to accelerate economic growth. It administers a number of advocacy coordination and assistance programmes to industry sectors regions and firms. Much of that work goes towards bringing companies into growth mode. 
Gordon Copeland 
: Will the Minister in the light of the assurances from the Buy New Zealand Made campaign president that members are willing to match the Government’s contribution now proceed with the promised grant of $100000; if not why not? 
Hon JIM ANDERTON 
: I was supportive of the application from Buy New Zealand Made for Government assistance when it was made but it was told to apply to the Ministry of Economic Development as it was before the official formation of Industry New Zealand and that application was not approved in the official way. Ministers do not approve specific allocations of money like that. The applications go through the agencies involved as I am sure the member knows and that is what happened in that case. 
Dr Don Brash 
: How does the Minister reconcile the so-called success of his initiatives to grow the domestic economy with the latest Treasury estimates of economic growth falling to as low as 1.75 percent in the coming year after taking into account the recent increase in the exchange rate which is less than half the Government’s 4 percent growth objective and less than a third of the rate required to get New Zealand’s per capita gross domestic product back into the top half of the OECD? 
Hon JIM ANDERTON 
: I reconcile it in three ways: firstly the Government’s record on creating over 120000 jobs in 3 years; secondly in having a higher growth rate than most of our trading partners in the OECD; and thirdly on independent reports from the OECD itself. I quote from Sergio Arzeni the head of the OECD’s economic and development programme: “In the view of the OECD the economic development programmes and strategies of Industry New Zealand since its conception in 2000 are at the forefront of best international practice. Our work at the OECD has shown that the most successful economic development approaches are those that emphasise entrepreneurship innovation and competitiveness recognising the need for a differentiated approach between regions.” The approach of Industry New Zealand states the OECD is in line with best practice. I hope that is good enough for the member. 
Peter Brown 
: Does the Minister believe that shipping could play a positive role in stimulating the economy; does he accept that thus far with regard to shipping this Government has done absolutely nothing; if he does accept those two assertions will he tell the House what he will do about it? 
Hon JIM ANDERTON 
: Apart from some of the principles involved for maritime unions and New Zealand shipping owners which I recognise I say to the member that I have not had one single complaint in 3 years from any manufacturer about shipping policy or costs from New Zealand. 
Hon Richard Prebble 
: Does he agree with Business New Zealand that since this Government has “established the world’s most business-friendly regulatory regime” the cost of Government regulation has increased for New Zealand’s small businesses; yes or no? 
Hon JIM ANDERTON 
: No. 
Rod Donald 
: If the Minister’s earlier answer about Business New Zealand’s Buy New Zealand Made campaign was true why did the Minister turn down a Budget bid from the Green Party and say that he was putting his own bid in to provide exactly that specific support for Business New Zealand why did he promise publicly to contribute $100000 to the Buy New Zealand Made campaign and why did he earlier this week say that it was because the campaign would not match the funding which it disputes? Was it because it would not hand over its brand to the Government which is what the campaign claims; or has it more to do with not wishing to support the domestic economy? 
Mr SPEAKER 
: There were about five questions. Two may be answered. 
Hon JIM ANDERTON 
: It may come as a surprise to the member to find out one day that Ministers do not write out private cheques for applications for funding. They go through processes. The Budget process is one and another is the agencies that the Government sets up to approve such funding. That request failed on both counts. 
Clayton Cosgrove 
: Can he give some recent examples of Industry New Zealand programmes that have helped in a practical way to transform the New Zealand economy for the better? 
Hon JIM ANDERTON 
: There are literally hundreds but let me just quote a few: a grant to Formway Furniture from both Industry New Zealand and Technology New Zealand for the design and development of what became the world’s best office furniture chair which is now on the world market and is being made here in Lower Hutt in a very sophisticated manufacturing operation; Mooring Systems Ltd in Christchurch for an automated mooring system that is the first of its kind in the world which has been recently trialled on the Interislander ferry in Picton and which has a world market awaiting it; the regional development programmes which are cementing in place centres of excellence in food production in the Hawke's Bay region and Rotorua and wine manufacturing in Marlborough and so on. Those examples are evidence of the Government’s success in those areas. 
Rt Hon Winston Peters 
: Is it not a fact that the real reason the Greens’ question is not in the affirmative is that at the time of the election or the post-election negotiations they at no time raised the issue but expect to come to the House now and have it addressed by the Government? 
Hon JIM ANDERTON 
: No I do not think that is fair. I think the Green Party was supportive of a Buy New Zealand Made campaign but Industry New Zealand and the Minister for Economic Development carried out a research programme into the effectiveness of such a campaign. The findings were that it would not be effective and that the money would be best spent on other branding exercises which the Government of course has adopted and is working on now. 
Gordon Copeland 
: Why did the Government attempt to acquire the Buy New Zealand Made brand through an arrangement that would have shut out private sector initiators from subsequent involvement? 
Hon JIM ANDERTON 
: I have to say that my recollection is not of that order. There was a decision as a result of a research survey that was carried out that it would be better for a different kind of branding exercise to be gone through from New Zealand. Fundamentally it comes down to this: if we want our country to be recognised for excellence and that anything coming from New Zealand is known for its excellence we have to do more than stamp a fernleaf or a kiwi on a box. We have to produce excellent production across a wide range of commodities and manufactured goods and that is what Industry New Zealand the Ministry of Economic Development and all the other agencies of government are endeavouring to work in partnership with private enterprise to bring about. 
Rt Hon Winston Peters 
: I raise a point of order Mr Speaker. The Minister made reference to a report from officials on the efficacy of a Buy New Zealand Made campaign. As he referred to the report could I ask for it to be tabled? 
Hon JIM ANDERTON 
: No problem. I will make sure that the member gets a personal copy and any other member who wants one is welcome to it as well. 
Document not tabled. 
Gordon Copeland 
: I seek the leave of the House to table a media release from Buy New Zealand Made. 
Document by leave laid on the Table of the House.