European Food Innovation and Technology Report 2013
Gisborne and the global economy
1. A conversation about the local impacts of international trade
deals, climate policy & the global financial crisis.
A local Maori perspective
Mr. Chris Karamea Insley
Monday 22nd April, 2013
Gisborne
2. Maori lands on the East
Coast
• Among the highest concentration
of Maori lands in the country here
on the coast;
• Enduring ties to our
turangawaewae. Unlike other
temporary players and
international forestry players we
have seen come and go from the
region stripping value out of local
assets, we will never leave our
lands (and the region);
• Government policies (asset sales
programs of the late 1980’s) that
ravaged our coast communities
and whanau;
• 1.2 million hectares of Maori lands
that are under-performing or
under-utilized.
“Ko te whenua te waiu mo nga uri i
whakatipuranga”
[The land will sustain our future generations]
3.
4. 20 Year Wealth Projections
Ngati Porou Wealth Creation
Todays $millions
$800
$681
$600 $570
$475
$442
$400 $336 $336
$200
$0
2010 2021 2031
Do nothng Best practice BERL projections
5. 20 Year Job Projections
New Ngati Porou Jobs
No. Ngati Porou jobs
6,000 5,607
4,970
4,732
4,493
4,500 4,038 4,038
3,000
1,500
0
2010 2021 2031
Do nothing Best practice BERL projections
6. 20 Year Salary Projections
Raising Ngati Porou salaries
Todays $ per Ngati Porou
person employed
$140,000
$121,534
$114,600
$105,000 $98,446$100,342
$83,279 $83,279
$70,000
$35,000
$0
2010 2021 2031
Do nothing Best practice BERL projections
7. NZ$ to US$
0.1000
0.0000
0.2000
0.3000
0.4000
0.5000
0.6000
0.7000
0.8000
Jan 1999 0.9000
May 1999
Sep 1999
Jan 2000
May 2000
Sep 2000
Jan 2001
May 2001
Sep 2001
Jan 2002
Source: Reserve Bank NZ, August 2011
May 2002
Sep 2002
Jan 2003
May 2003
Sep 2003
Series1
Jan 2004
May 2004
Sep 2004
Jan 2005
May 2005
Sep 2005
Jan 2006
Long run trend-line May 2006
Sep 2006
Jan 2007
May 2007
Sep 2007
Jan 2008
May 2008
Sep 2008
Jan 2009
May 2009
Sep 2009
Jan 2010
May 2010
Sep 2010
Jan 2011
May 2011
Very-high and climbing Exchange Rate
0.8455
8. The constant decline in commodity
prices
Source: CORIOLIS Research, November 2005
9. Land-based Aquaculture Project
• Diminishing wild-stock fisheries
• Growing international demand for fresh fish
• 100 percent Iwi owned
• Current two year study
– International connections
– Leading New Zealand researchers involved
• Some government support (MPI)
• Project goals
– Review of all existing research
– Design best practice framework
– Model project management approaches
– Practical replication models with other Iwi
• Study complete in 2015
10. Manuka Honey Project
• Unique variety of Manuka (in the world)
• Growing international demand medicinal
products
• 100 percent Iwi owned
• Current two year study
– International connections
– Leading New Zealand researchers involved
• Some government support (MPI)
• Project goals
– Review of all existing research
– Design best practice framework
– Model project management approaches
– Practical replication models with other Iwi
• Study complete in 2015
11. Renewable Energy Project
• A flag-ship project (not just for Maori);
• Owned by the Marae;
• Engineering partners;
– International;
– Auckland University;
– Auckland Institute of Technology;
– Canterbury University.
• Leading investor and commercialization partners
• Project goals
– Energy security and a new revenue stream for hapu
– New and real jobs
– Model project management approaches
– Practical replication models
• Business-case at the end of August, 2013
12. 20 Year Sustainable Development
Plans
Tsunami GIS modeling (an example) Sustainable:
• Economic development;
• Social development;
• Environmental development;
• Cultural development;
• Led by the community;
• No support from central
government;
• Complete end of
August, 2013
20. Protected Cultivation (Greenhouse)
• Another flag-ship project;
• 100 percent Maori owned;
• Leading Dutch technology
– Wageningen Institute (Netherlands)
– University of Auckland
– Plant & Food NZ
• Project goals
– Food security
– Sustainably grown
– International trade
– Large scale Maori development
– Branded as Sustainable and Maori
• Business-case at the end of August, 2012
21. Climate change and Iwi Nationally
• Iwi interests consistently represented to
successive governments
• Engagement direct with Ministers
• Agreed 2013 priorities
– Collapse of NZU price
– Transition to low carbon economy (clean-
tech)
– Recognition of indigenous forests
– International negotiations and domestic
regulations
– Science and Innovation funding
– Support for Maori communities (power
bills, home insulation etc..)
• Related Energy and Water policy
22. Policy lessons from our tipuna (Ngata)
• Targeted investment policy with
long-term investment players
(including Government as an
investor);
• Targeted international trade
policy particular to our interests
here on the coast;
• Targeted science and technology
policy defined by us (not the
researcher)
• Targeted policy that balances
economic, social, environment
and cultural values
“No one-size fits all policy”
Editor's Notes
Brief profilesMr.Chris Karamea Insley and Kennedy Graham in A conversation about the local impacts of international trade deals, climate policy & the global financial crisis.Chris Karamera Insley is a Harvard Business School graduate with qualifications in business research, strategy and international finance. He is on the Board of SCION, the Crown Research Institute for forestry, and Te Kotahi Research Institute at Waikato University. Chris is an advisor on climate change policy to iwi authorities, the New Zealand Government and the United Nations. Chris has extensive international market networks and broad industry knowledge in forestry, fishing, farming, renewable energy, Māori development and sustainable development.Kennedy Graham is a Green Party MP Ken has previously worked for NGOs in New York, the United Nations in Europe and the Middle East, and as a NZ diplomat in Asia, Europe and North America. He was involved in negotiating the South Pacific Nuclear-Free Zone, defending the policy before the UN in Geneva and New York. Ken holds a B.Com from Auckland University, a BA Hons in Political Science from Victoria; an M.A. from the Fletcher School of Law & Diplomacy, Boston (Fulbright); and a Ph.D. in Political Science from Victoria University. He was also a Fellow at Cambridge University, studying in the Global Security Programme. Ken has authored and edited five bookson issues of climate change, sustainability and nuclear weapons from a global perspective.
20 Year Independent ModellingCurrent asset utilization is not optimal nor comparable to non-MaoriMarkets have shifted, very high exchange rate;Governance and management;Access to capital; andTechnology have changed.Two 20 year scenariosDo nothing; versusLift asset productivity (technology, governance and management)
Key conclusionGanesh Nana pointed clearly to the fundamental role of new technology to raise the productivity of our assets, create new high value products away from the basic commodities of the past and target these into new and high value growth markets of the world. The economic cost to Ngati Porou of not doing this according to Nana is in excess of $100 million.
What does this all mean?Foreign exchange rates are high and will stay high (certainly according to John Key). Commodity prices will fluctuate creating small mini booms, but it is undeniable that they have fallen. The historic business model is broken!We need a new business model/strategyNew global marketsHigh value global marketsHigh growth global marketsAndNew high value products
![Maori lands on the East
Coast
• Among the highest concentration
of Maori lands in the country here
on the coast;
• Enduring ties to our
turangawaewae. Unlike other
temporary players and
international forestry players we
have seen come and go from the
region stripping value out of local
assets, we will never leave our
lands (and the region);
• Government policies (asset sales
programs of the late 1980’s) that
ravaged our coast communities
and whanau;
• 1.2 million hectares of Maori lands
that are under-performing or
under-utilized.
“Ko te whenua te waiu mo nga uri i
whakatipuranga”
[The land will sustain our future generations]](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)