This is the presentation at the launch event for the new Economic Development Agency in Gisborne

2. BACKGROUND
EDA’s
HISTORY
IN
TAIRĀWHITI
•
Lots
of
different
opinions
about
its
worth
•
Long
history
of
effort
to
establish
an
EDA
•
Several
false
starts
•
Many
other
exemplars
now
available
to
Tairāwhiti
•
Lessons
to
be
learned…
.

3. CONTEXT
WHAT
HAVE
WE
BEEN
DOING?
•
ECT
coordinated
a
“consensus
building
group”
in
May
2014
•
A
“bit-­‐of-­‐a-­‐plan”
was
put
together
by
the
resultant
Steering
Group
•
Mandate
provided
to
me
to
“get
cracking”
as
Establishment
Chair
o Appointed
Astrid
as
Establishment
Chief
Executive
o Appointed
3
Trustees
to
date
(John
Rae
plus)
q Jasper
Holdsworth
-­‐
PULTRON
q Fraser
Brown
–
CRAIG’S
q Finalising
iwi
representative
•
GOT
UNDERWAY!
.

4. ECONOMIC LANDSCAPE
Economic
Measure
MARCH
YEARS
Equivalent
Annual
Growth
2007
2013
Rate
%
p.a.
GDP
or
GRP
$
millions
$
millions
Gisborne
RC
1,271
1,613
4.1%
Northland
RC
4,972
5,562
1.9%
New
Zealand
169,869
211,639
3.7%
Value
Added
per
Worker
Gisborne
RC
68,004
80,812
2.9%
Northland
RC
115,979
104,529
-­‐1.7%
New
Zealand
106,424
109,034
0.4%

5. TAIRĀWHITI ECONOMIC SECTORS
COMPARATIVE ADVANTAGE
6.00
4.00
2.00
0.00
-­‐2.00
-­‐4.00
-­‐6.00
Employment
Growth,
GRP
MulSplier,
Employment
MulSplier
by
Forestry
&
Forest
Services
HorSculture
&
Fruit
Growing
Dairy
Sheep
&
Beef
Logging
Fishing
Livestock
&
crop
farming
Other
farming
(pigs,
horses)
Sector
GRP
MulSplier
EC
Growth:
2000/2013
%
p.a.
Employment
MulSplier

6. IMPROVING PERFORMANCE
COMPARATIVE ADVANTAGE ECONOMIC SECTORS (DECLINING EMPLOYMENT)
Employment
Growth,
GRP
mulSplier,
Employment
count
mulSplier
5.00
4.00
3.00
2.00
1.00
0.00
-­‐1.00
-­‐2.00
-­‐3.00
-­‐4.00
-­‐5.00
-­‐6.00
Forestry
&
Forest
Services
HorSculture
&
Fruit
Growing
Livestock
&
crop
farming
Fishing
by
Sector
GRP
MulSplier
EC
Growth:
2000/2013
%
p.a.
Employment
MulSplier
2.5
2
1.5
1
0.5
0
Sectors
experiencing
employment
growth
Revenue
Mul@plier
by
Sector
400
300
200
100
0
500
Forestry
&
Forest
Services
HorSculture
&
Fruit
Growing
Total
Revenue
Impact
$m
Livestock
&
crop
farming
Fishing
466
290
78
20

7. TAIRĀWHITI ECONOMIC SECTORS
COMPETITIVE ADVANTAGE
EC
Growth
36.72
(4.2%
growth
per
annum
2008
–
2013)
5.00
4.00
3.00
2.00
1.00
0.00
-­‐1.00
-­‐2.00
-­‐3.00
-­‐4.00
-­‐5.00
Wood
Product
Manufacture
Other
Food
Manufacture
Meat
Processing
ScienSfic
&
Technical
Services
PlasSc
Products
Movies
Radio
&
Tv
Beverages,
Malt
&
Tobacco
Agricultural
Services
Industrial
Machinery
Road
Transport
Employment
Growth,
GRP
MulSplier,
Employment
MulSplier
by
Sector
GRP
MulSplier
EC
Growth:
2000/2013
%
p.a.
Employment
MulSplier

8. IMPROVING PERFORMANCE
COMPETITIVE ADVANTAGE SECTORS (DECLINING EMPLOYMENT)
Employment
Growth,
GRP
MulSplier,
Employment
MulSplier
by
5.00
4.00
3.00
2.00
1.00
0.00
-­‐1.00
-­‐2.00
-­‐3.00
-­‐4.00
-­‐5.00
Wood
Product
Manufacture
Other
Food
Manufacture
Movies
Radio
&
Tv
Beverages,
Malt
&
Tobacco
Agricultural
Services
Sector
GRP
MulSplier
EC
Growth:
2000/2013
%
p.a.
Employment
MulSplier
400
300
200
100
0
Total
Revenue
Impact
$m
174
373
29
108
171
3
2.5
2
1.5
1
0.5
0
Revenue
MulSplier
by
Sector
Sectors
experiencing
employment
growth.

9. ECONOMIC OPPORTUNITY
EXPORT SECTORS - CLUSTERS
5.00
4.00
3.00
2.00
1.00
0.00
-­‐1.00
-­‐2.00
-­‐3.00
-­‐4.00
-­‐5.00
Major
Export
Sectors
by
GRP,
Employment
&
Revenue
Dairy
Sheep
&
Beef
Forestry
&
Forest
Services
Other
Food
Manufacture
HorSculture
&
Fruit
Growing
Meat
Processing
Wood
Product
Manufacture
Beverages,
Malt
&
Tobacco
MulSpliers
and
EC
Growth
GRP
MulSplier
EC
Growth:
2000/2013
%
p.a.
Employment
MulSplier
Revenue
MulSplier
600
500
400
300
200
100
0
Exports
in
$millions
EC
Growth
36.72
(4.2%
growth
per
annum
2008
–
2013)

10. IMPROVING PERFORMANCE
CONSUMPTION DRIVEN ECONOMIC SECTORS
1200
1000
800
600
400
200
0
Employment
Count
2013
8
7
6
5
4
3
2
1
0
Employment
Count
high
but
annual
employment
count
growth
rate
low
Annual
Growth
Rate
%
Employment
Count

11. IMPROVING PERFORMANCE
CONSUMPTION DRIVEN ECONOMIC SECTORS
(EMPLOYMENT DECLINE)
20
18
16
14
12
10
8
6
4
2
0
Annual
Loss
Rate
%

12. COMMUNITY ECONOMIC &
EMPLOYMENT STRATEGIES
1.
Retaining
and
Expanding
Local
Businesses
Actions
which
assist
local
businesses
improve
their
productivity
and
market
share.
2.
Fostering
New
Businesses
Actions
that
encourage
and
support
the
creation
of
new
businesses
to
add
value
to
existing
products,
to
meet
consumer
demand
and
to
capture
trade
that
might
otherwise
go
to
other
communities,
regions
or
countries.
3.
Attracting
Outside
Business
and
Resources
Actions
that
bring
new
investment,
employers
and
funding
to
the
region.
4.
Plugging
the
Leaks
in
the
Local
Economy
Actions
that
encourage
greater
loyalty
in
terms
of
purchasing
by
local
residents
and
businesses.
5.
Marketing
the
Community
Actions
that
enhance
the
appeal
and
image
of
the
community
to
potential
visitors
and
new
immigrants.
Source:
Peter
Kenyon

13. IMPORTANCE OF EXISTING
BUSINESS BASE
•
Creates
between
60-­‐80%
of
new
jobs
•
Provides
most
of
the
investment
for
new
community
economic
initiatives,
infrastructure
•
Often
generates
ideas
about
new
businesses
•
Often
acts
as
an
attractor
for
outside
businesses
to
relocate
or
establish
within
the
community
(Source:
Peter
Kenyon)

14. TAIRĀWHITI ECONOMIC DEVELOPMENT
WHAT DOES IT LOOK LIKE SO FAR…
Connected
Community
(Broadband)
(Technology)
Sectors
Clusters
EducaSon
Skills
Pathways
Plugging
the
Leaks
Iwi
Economic
Growth
Sectors/Clusters
Forestry,
Logging,
Wood
Product
HorSculture
(includes
Cropping
&
Fruit
Growing)
Food
Manufacture/Processing
Dairy,
Sheep,
Beef,
Other
Livestock
Industrial
Machinery
Tourism
USliSes
Water,
Power,
etc

15. ECONOMIC DEVELOPMENT
He
aha
te
mea
nui
o
te
ao?
He
tangata!
He
tangata!
He
tangata!
What
is
the
most
important
thing
in
the
world?
It
is
people!
It
is
people!
Fundamentals
of
Economic
Development
• Retain
Existing
Wealth
• Create
New
Wealth
• Capture
Wealth
from
Elsewhere

16. ECONOMIC DEVELOPMENT
NEXT STEPS…
•
Economic
Development
Workshop
(October)
•
Collate
Economic
Information
&
Workshop
Outcomes
•
Economic
Development
Workplan
with
KPIs
(everyone
has
a
role
to
play)…
•
CEO
position
advertised
&
appointed
early
2015
•
Workplan
implemented
together
with
business,
stakeholders
and
key
partners.

17. IN CONCLUSION…
•
Quite
a
bit
done
-­‐
but
lots
more
to
go…
•
Activate
Tairāwhiti
is
YOUR
EDA…engage
and
get
in
behind
it
•
Support
the
Workshops
–
Tairāwhiti
will
get
out
what
it
puts
in…
•
THANKYOU…QUESTIONS?