Robson Matt: Questions for Oral Answer — Questions to Ministers Question No. 3 to Minister 
Robson Matt: Questions for Oral Answer — Questions to Ministers Question No. 3 to Minister 
[Volume:617;Page:13309] 
4.  
Hon MATT ROBSON (Deputy Leader—Progressive) 
 to the  
Minister for Economic Development 
: In what ways will this year’s Budget support the ongoing development and implementation of the growth and innovation framework? 
Hon JIM ANDERTON (Minister for Economic Development) 
: 
 The growth and innovation framework is the Government’s comprehensive approach to economic development. I am pleased to confirm there will be a $500 million 4-year package of new initiatives in the Budget this year to support ongoing development through the growth and innovation framework that will focus on building up New Zealand’s ability to compete in the global marketplace—something that was never done in the 9 years under a National-led Government. 
Hon Matt Robson 
: Has the Minister seen any reports of risks to that $500 million economic transformation package? 
Hon JIM ANDERTON 
: Yes surprisingly I have. I saw a report from the National Party deputy spokesperson on finance that indicated he and his party would demolish industry assistance altogether because it was as he described it “corporate welfare”. 
John Key 
: Does the Minister acknowledge that New Zealand business would much prefer a cut in the corporate tax rate and the abolishment of his “picking winners corporate welfare” as so wonderfully stated by Tom Lambie of Federated Farmers who said in response to the Budget initiatives that it is “time the Government got back to its core business and stopped trying to play around in areas that are the responsibility of business”; if not why not? 
Hon JIM ANDERTON 
: It is a free country and the representative of Federated Farmers is entitled to his opinion. I looked at the business pages of the  
New Zealand Herald 
 this morning and read the comments of business leaders on what they wanted in this Budget. They wanted work to be done to support export market access; assistance with regulatory issues in export markets; the roading network in Auckland to be sorted out; and investment in infrastructure. They also requested more assistance to help businesses to grow. I am pleased to say that all those concerns will be addressed in this year’s Budget. 
Mark Peck 
: Does the Minister have any further evidence that business supports the regional development initiatives of the Labour-Progressive Government? 
Hon JIM ANDERTON 
: I was at a function last night in the Manawatu which now has one of the fastest-growing economic development records in the country—only since this Government began operation in 1999 I might say—and everyone there representing his or her business business interests and sector of business praised the Government New Zealand Trade and Enterprise the Ministry of Economic Development the Prime Minister the Deputy Prime Minister and everyone up and down on this side of the House for the work they are doing to develop business opportunities in New Zealand. I have never heard the like of that in all the years I have been in this Parliament. 
Rt Hon Winston Peters 
: In an endeavour to help the National Party’s associate finance spokesperson can the Minister advise how many mechanisms for example Australia has to help its exporters which I believe to be 75 and how many does New Zealand have in contrast—one being a sound economy and one being a consumptive economy? 
Hon JIM ANDERTON 
: Every country in the advanced world has significantly more business opportunities in terms of Government involvement in economic development than this country and because advanced countries did that it never happened when the National-led Government was in place. 
Deborah Coddington 
: In what way does the Minister support his department’s spending $25000 of taxpayers’ money to send bar staff from Wellington’s Matterhorn restaurant to the Cannes film festival for a Film Commission booze-up and calling them “cocktail designers”; and is taking New Zealand bar staff to France what he calls competing in the global marketplace? 
Hon JIM ANDERTON 
: Well they seem to be competing in the marketplace anyway. I do not have any specific information on that but I will answer the member if she gives me her concerns. Let me just say however that New Zealand is in a global marketplace in terms of competition. Practically every country in the world encourages its business and industrial community to compete in that global marketplace and gives considerable assistance to it to do so. We are one of the small players in that regard. We are a long way from those markets and our business people need all the help they can get and this Government is prepared to give it to them—unlike previous administrations. 
Hon Richard Prebble 
: Does the Minister accept that it would greatly help the ongoing development and implementation of growth and innovation if the Government instead of giving out taxpayers’ money to some favoured businesses in this week’s Budget was to put forward a prosperity-promoting flat tax of 20c which would cost $5 billion and be $2 billion less than Treasury’s estimate of the surplus; if that is the case why did he as Minister for Economic Development not go out there and put up the case for reducing taxes rather than go on pretending he is some sort of Father Christmas? 
Hon JIM ANDERTON 
: With that kind of arithmetic I now know why the Labour Government that the member was a Minister in did not do too well in terms of economic performance. Let me just say to him that this Government does not throw money at businesses. It invests in activities that the business community individually and collectively in terms of industry sectors and clusters of business— 
Opposition Member 
: What about Sovereign Yachts! 
Hon JIM ANDERTON 
: Sovereign Yachts is doing very well. The member should go to see the yachts it is building and compare them with the ones that were built before it came here. Just let me say therefore that the Government is investing in activities. It is not throwing money at businesses. Businesses have to put up very robust business cases for this money. Let me also say to the member that the $5 billion that he suggests be thrown at businesses through tax cuts would be at the expense of all hospital needs school needs student needs and the needs of other services essential to New Zealanders—services that members on that side of the House are always complaining about but they never want to show us how they would spend the money so that all New Zealanders can benefit from them. 
Peter Brown 
: Noting the Minister’s earlier answers about other countries in the world giving support to their industries is the Minister aware that external trade is exceedingly important to this country and that every tonne in and out comes via a foreign ship and can I take it that he will advocate very firmly that this Budget addresses the New Zealand shipping situation? 
Hon JIM ANDERTON 
: I have a notice in my room that states: “Impossible things we do daily; miracles take a bit longer.” But let me just say that this Government is aware of the concerns of the whole of the waterfront shipping industry in terms of issues before it and a group of Ministers is addressing those matters as I speak.