web analytics

Buying Kiwi made

Written By: - Date published: 10:39 am, July 14th, 2010 - 24 comments
Categories: Economy - Tags:

John Armstrong reports that Clare Curran is preparing a private members bill that would see more government work going to Kiwi businesses.

I suspect this will have the free-market loonies up in arms despite the fact that procurement policies like this are pretty standard around the world and getting one in place here would be a much better move for building Kiwi businesses, creating jobs and stimulating the economy than giving tax-payer money to multinational prison firms or the joke that is the cycleway.

It is certainly a better idea than Bill English’s plan to drive the economy into the ground chasing a fictional debt monster.

If Curran’s bill is drawn from the ballot she will doubtlessly have the support of the unions that backed the calls for Kiwi Rail to build its rolling stock in NZ (calls the government quickly quashed) but she should also have the support of Business New Zealand and the Employers and Manufacturers Association and other business organisations as they have considerable sway on the Nats and such a policy would be in the interests of their members.

I would imagine she’ll be talking to BNZ and EMA CEOs Alistair Thompson and Phil O’Reilly about this as they would be critical players in making sure this members bill would go through.

I’ll be interested to see how this develops.

24 comments on “Buying Kiwi made ”

  1. Bored 1

    ” procurement policies like this are pretty standard around the world ”

    Well said, I have often wondered why we dont follow the example set by our major trading partners.

    I also suggest that we change the accounting criteria to allow the true transfer costs to be allocated in procurement i.e. if we buy from X what subsidies are they giving their product, what does it cost us because we then have to shut down an industry, etc etc.

    Well done Clare Curran for challenging the sacred shibboleths, a few more in labour ought to do the same and we would have soemething to offer the electorate.

  2. michaeljsavage 2

    Good for Clare – it needs to be remembered by every NZ voter and businessperson – that John “velly lo kee” has indicated that everyone will soon be standing in line behind China and her mega companies and their underpaid zillions of workers. So NZ becomes the “lee Kee shipyard”.

    I almost sense the dead, dangling corpse-like hand of that fossilised zombie “sir” roger douglas as an adviser to Johnny boy on how to completely root a country.

  3. millsy 3

    While you are wasting your energy lobbying for KiwiRail to build EMU’s in workshops that have been run down over the past 20-25 years and are more suited to refurbishing rail vehicles than building them from scratch, KiwiRail, having been leaned on by the government, is about to chop out about about a quarter of our rail network, including the rail link to Northland.

  4. Todd 4

    How about reintroducing tariffs on to all imported goods,then we can start making box TVs again and flog them off to kiwis for a couple of grand each just like the good old days.Same goes for cars, I was always bitterly disapointed that the Treka car/truck was canned it could have put NZ on the world stage for car building expertise.

    • george 4.1

      How about not making an reductio ad absurdum argument? Could you do that? Because I don’t think you could.

      • michaeljsavage 4.1.1

        how about not being a smartass cunnus mentulatum

        quid pro quo and other nasty chinese words …

  5. Todd 5

    Thinking about this im all for it.I see a chance to make a buck here.Simply give the customer (govt) a quote and buy the product (cheap)from overseas (they cant sell it here)plaster a made in Nz tag on it and presto a nice little earner.

  6. Todd 6

    Lighten up old chap!

  7. Big Bruv 7

    Another idea that did not see the light of day under the Labour government.

  8. Todd 8

    How about not making an reductio ad absurdum argument? Could you do that? Because I don’t think you could.

    My Mother used to tell me to stop being silly.I guess you have a classier way of saying it.

  9. Draco T Bastard 9

    The Kiwirail fiasco shows that the “free-market” is killing us. Is it cheaper to buy rail cars made overseas? Yes, by a small amount. Is it better to make them here? Yes, by a large amount, an amount that would require that the imported cars be only 1/3rd the price being charged to get the same benefit. It’s proof positive that the price alone doesn’t cover enough variables to make an informed and rational decision.

    Time for the total economic impacts to be weighed in purchasing decisions.

  10. michaeljsavage 10

    We had the ability to make our own rollingstock etc – and potentially we still do. The technocrats want us to remain in the limbo we created by destroying our manufacturing and industrial capacity and not look any further than something called “the knowledge economy” and offer “expertise” and other paper/strawmen merchant banker bullshit.

    What a bunch of euphemisms for “bend over and get rooted up the bumhole” you broody dumb roundeyes hahahaha! (you have to imagine accent and Raymond Huo sort of facial expressions (ie im smiling – but ill screw you over when i can whitey) – i see from redalert he is over the moon one of the allwhites is joining a chinese team).

    Has anyone done the maths on the economic benefits of a country actually making things that are real, you know …. sort of tangible …. things that have and add value?? No – not good old immigrant and chinese nationalist overrun godzone … lets buy cheap chinese trailers where the axle breaks and makes the trailer a deadly weapon.

    • prism 10.1

      michaeljs – Rein in your ruder comments about people who look and come from a place different to you. This stuff doesn’t advance discussion and reasoned thought. It’s offensive and spoils your interesting ideas for me.

      • Nick C 10.1.1

        But prism if you think about it this entire bill really is motivated by a form of racist economic nationalism. Jobs have to be done somewhere, the fact that he wants New Zealanders to do the work suggests that we are somehow inherrently more deserving of wealth than a chinese worker, who likely needs it more.

        But even when you ignore the overt racism the comments lack any intelligence. He says that we need a manafacturing sector because it adds value to the economy. Manafacturing only adds value to the economy insofaras people are willing to pay for the manafactured goods (their price reflects their value). If people were willing to pay for goods manafactured in New Zealand then why isnt anybody producing them?

        • loota

          Nick C – the answer is simple – overseas producers are often more capable at producing better goods for cheaper. But you are asking the wrong question. The right question is “how can we create goods manufactured in New Zealand that New Zealanders are willing to pay top dollar for”.

          A totally different concept.

          Just like when Toyota was producing cars in the 1950’s which were ridiculously bad and of low quality.

          Their products could not compete against US and UK cars on any count. Performance, fratures, build quality, reliability, etc. It literally was Jap Crap.

          But the Japanese car industry was given every support, every incentive, and a tonne of govt money over decades and decades in order to build their skills and their capabilities.

          And today they own the market. And Lexus is one of the most powerful players in the luxury car market, toe to toe with MB and BMW.

          Do not expose your immature industries prematurely to be destroyed by powerful overseas players before they are ready to compete toe to toe on a global basis.

          • Nick C

            Loota thats a slightly more intelligent arguement than the crap coming from mjs

            I have one question though. If there is long term profitablility in running an industry at a loss in the short term in order to build it up (as demonstrated by your example from Japan) why cant the private sector run it by absorbing those costs and being rewarded with long term profit?

            The problem I have with government picking winners like that is that more often than not they get it wrong because their decisions are based on political factors not economic ones. The US has tried the exact same thing by subsidising its car industry and look where that got them.

            • felix

              Private enterprise either isn’t capable of or isn’t interested in planning that far ahead on such a scale.

              If they were, they would, but they don’t.

              (edit: obviously I’m generalising but it’s generally true.)

            • michaeljsavage

              Opinion noted Nick C – my only observation would be this …. supposedly reasoned and circumlocutory debate can simply be a meaningless, elegant minuet. Satisfies the soul but doesnt get to the heart of a matter. That type of debate and thinking is exactly (not entirely) part of the reason we’ve ended up with no industrial sector of any note producing real things and employing real people.

              Your points are taken on board … but we have adopted a national mindset that seems to say “we cant compete – we cant do it”. I wasnt only referring to selling goods in NZ – and there are all sorts of other issues that cant be taken up in a comments box – as you have stated.

              Crap my comments may be to you – but i am entitled to my opinion – and sometimes an open mind that looks beyond what makes you initially bristle can be valuable …

  11. Hateatea 11

    There is nothing new in ‘buying Kiwi made’ campaigns. There should even be something still in the Government Departmental guidelines about it. There certainly was in the past when I was a civil servant.

    Free trade agreements probably act against that ever being official government policy again and it would certainly seem to be contra John Key’s recent grovelling trip around Asia.

    I will watch with interest

  12. Hamish Gray 12

    One more time – Australia-New Zealand Government Procurement Agreement – Australian suppliers are treated as local as Kiwi suppliers and vice versa. Australia has far superior rolling stock manufacturing capabilities and would likely win any tender over a Kiwi supplier, as they are, essentially, local suppliers too. So Kiwirail would spend a ton on bidding for a project it cannot win.

Links to post

Recent Comments

Recent Posts

  • Worsening housing crisis must prompt action
    A growing public housing waiting list and continued increase of house prices must be urgently addressed by Government, Green Party Co-leader Marama Davidson said today. ...
    4 hours ago
  • Twenty highlights of 2020
    As we welcome in the new year, our focus is on continuing to keep New Zealanders safe and moving forward with our economic recovery. There’s a lot to get on with, but before we say a final goodbye to 2020, here’s a quick look back at some of the milestones ...
    3 weeks ago

  • Jobs for Nature funding will create training and employment opportunities
    A major investment to tackle wilding pines in Mt Richmond will create jobs and help protect the area’s unique ecosystems, Biosecurity Minister Damien O’Connor says. The Mt Richmond Forest Park has unique ecosystems developed on mineral-rich geology, including taonga plant species found nowhere else in the country. “These special plant ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Pre-departure testing extended to all passengers to New Zealand
    To further protect New Zealand from COVID-19, the Government is extending pre-departure testing to all passengers to New Zealand except from Australia, Antarctica and most Pacific Islands, COVID-19 Response Minister Chris Hipkins said today. “The change will come into force for all flights arriving in New Zealand after 11:59pm (NZT) on Monday ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Bay Cadets learn skills to protect environment
    Bay Conservation Cadets launched with first intake Supported with $3.5 million grant Part of $1.245b Jobs for Nature programme to accelerate recover from Covid Cadets will learn skills to protect and enhance environment Environment Minister David Parker today welcomed the first intake of cadets at the launch of the Bay ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Cook Islanders to resume travel to New Zealand
    The Prime Minister of New Zealand Jacinda Ardern and the Prime Minister of the Cook Islands Mark Brown have announced passengers from the Cook Islands can resume quarantine-free travel into New Zealand from 21 January, enabling access to essential services such as health. “Following confirmation of the Cook Islands’ COVID ...
    BeehiveBy beehive.govt.nz
    5 days ago
  • Supporting communities and landowners to grow employment opportunities
    Jobs for Nature funding is being made available to conservation groups and landowners to employ staff and contractors in a move aimed at boosting local biodiversity-focused projects, Conservation Minister Kiritapu Allan has announced. It is estimated some 400-plus jobs will be created with employment opportunities in ecology, restoration, trapping, ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Border exception for some returning international tertiary students
    The Government has approved an exception class for 1000 international tertiary students, degree level and above, who began their study in New Zealand but were caught offshore when border restrictions began. The exception will allow students to return to New Zealand in stages from April 2021. “Our top priority continues ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Tiwai deal gives time for managed transition
    Today’s deal between Meridian and Rio Tinto for the Tiwai smelter to remain open another four years provides time for a managed transition for Southland. “The deal provides welcome certainty to the Southland community by protecting jobs and incomes as the region plans for the future. The Government is committed ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • New member for APEC Business Advisory Council
    Prime Minister Jacinda Ardern has appointed Anna Curzon to the APEC Business Advisory Council (ABAC). The leader of each APEC economy appoints three private sector representatives to ABAC. ABAC provides advice to leaders annually on business priorities. “ABAC helps ensure that APEC’s work programme is informed by business community perspectives ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Govt’s careful economic management recognised
    The Government’s prudent fiscal management and strong policy programme in the face of the COVID-19 global pandemic have been acknowledged by the credit rating agency Fitch. Fitch has today affirmed New Zealand’s local currency rating at AA+ with a stable outlook and foreign currency rating at AA with a positive ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Additional actions to keep COVID-19 out of NZ
    The Government is putting in place a suite of additional actions to protect New Zealand from COVID-19, including new emerging variants, COVID-19 Response Minister Chris Hipkins said today. “Given the high rates of infection in many countries and evidence of the global spread of more transmissible variants, it’s clear that ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • 19 projects will clean up and protect waterways
    $36 million of Government funding alongside councils and others for 19 projects Investment will clean up and protect waterways and create local jobs Boots on the ground expected in Q2 of 2021 Funding part of the Jobs for Nature policy package A package of 19 projects will help clean up ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • New Zealand Government acknowledges 175th anniversary of Battle of Ruapekapeka
    The commemoration of the 175th anniversary of the Battle of Ruapekapeka represents an opportunity for all New Zealanders to reflect on the role these conflicts have had in creating our modern nation, says Associate Minister for Arts, Culture and Heritage Kiri Allan. “The Battle at Te Ruapekapeka Pā, which took ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Better care for babies with tongue-tie
    Babies born with tongue-tie will be assessed and treated consistently under new guidelines released by the Ministry of Health, Associate Minister of Health Dr Ayesha Verrall announced today. Around 5% to 10% of babies are born with a tongue-tie, or ankyloglossia, in New Zealand each year. At least half can ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Prisoner disorder event at Waikeria Prison over
    The prisoner disorder event at Waikeria Prison is over, with all remaining prisoners now safely and securely detained, Corrections Minister Kelvin Davis says. The majority of those involved in the event are members of the Mongols and Comancheros. Five of the men are deportees from Australia, with three subject to ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Pre-departure COVID-19 test for travellers from the UK and the US from 15 January
    Travellers from the United Kingdom or the United States bound for New Zealand will be required to get a negative test result for COVID-19 before departing, and work is underway to extend the requirement to other long haul flights to New Zealand, COVID-19 Response Minister Chris Hipkins confirmed today. “The new PCR test requirement, foreshadowed last ...
    BeehiveBy beehive.govt.nz
    2 weeks ago