The New Zealand Manufacturers and Exporters Association (NZMEA) says the governments immigration changes to encourage more skills and entrepreneurs into the regions to help address the skills shortage is a good step forward.
However, a wider regional growth strategy is needed to bring new life and sustainable growth and opportunities to the regions, says NZMEA.
It also says the fall in dairy prices has outlined the need for more diverse business development in the regions.
“A better flow of skilled migrants to the regions will help improve the capability of our manufacturing and exporting businesses in the regions, this, along with the announced regional research institutes, are a positive step forward,” says NZMEA chief executive Dieter Adams.
“Manufacturing businesses need others around them, a manufacturing eco-system of critical mass to create local supply chains and fuel demand and capability. The risk of slipping below critical mass is even more pronounced in the regions,” says Adams.
“Dunedin is a good example of this, where the loss of Hillside Engineering and other manufacturers had unfortunate effects on remaining manufacturers who made up parts of related supply chains.
“With the regional initiatives already in place, along with a more focused strategy targeting regional manufacturers, the sector can do much more to supply good sustainable jobs and growth for the regions.
“Part of this strategy must also be providing the training, education and support required for Kiwis in the regions to gain the skills needed to grow capability and competitiveness in manufacturing and exporting businesses, and improve the outcomes, incomes and productivity of our people.” says Adams.
