Nick Smith - Nelson MP, Minister National Government

Supporting our export sector

9 September 2011

A National Government will help grow our forestry, fishing and farming industries by investing in research, training and infrastructure. Our policies are also about reducing compliance costs, removing regulatory roadblocks and improving trade access for New Zealand exports.

Our commitment to research is illustrated nationally by the $477 million Primary Growth Partnership with industry and locally by our financial support for the Cawthron Institute's new aquaculture research centre at the Glen.

We are investing in earthquake-resistant timber design so Nelson's forest industry can benefit from the $20 billion Christchurch rebuild.

We are making big changes in training focusing on practical skills. Millions were being wasted on hip-hop, twilight golf and courses that few were completing. The aquaculture diploma programme that started this year at NMIT is a first for New Zealand. The new Nelson Tasman Trades Academy announced this week by National specifically includes skills in primary industry.

National is investing heavily in rural infrastructure.

The $300 million for rural broadband will help Nelson schools, farms and orchards connect to the world.

We have already put $1 million into the feasibility study on the Lee Valley Dam. Irrigation on the Waimea Plains has the potential to expand exports by $30 million a year.

We are working hard to get compliance costs under control with changes in areas like resource management and ACC. Nelson industries will save more than 20% or $10 million in annual ACC levies.

Nelson's opportunities for growth from aquaculture were lost over the last decade with the moratorium imposed in 2000 on any new marine farms. Legislation passed last month will enable aquaculture, including successful Nelson companies like King Salmon, to grow into a $1 billion a year industry.

The Government is securing new trade opportunities for Nelson's export industries. Access for Nelson apples to Australia is worth $10 million a year to our economy. We want to conclude trade agreements with emerging markets like India and Russia.

The greatest threat to these export industries and Nelson is policies that will undermine investment and add costs. Labour's Capital Gains Tax will hit farming, forestry and fishing with large additional tax bills. Their policy to bring agricultural emissions into the Emissions Trading Scheme early, and on tougher terms than any other sector or country, will cost our farming sector billions and push up food prices for Nelson families.

National has worked hard to rebalance the economy away from debt and into exports. This strategy is working. Household debt is down. Exports are up. Investment in forestry is up. Farm profitability is the best for decades.

It will take time for this growth in our productive industries to flow into the broader economy but this is the right strategy for Nelson and New Zealand.

ENDS