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message from the executive director

One of my favourite sayings is that Kiwi firms need to collaborate onshore to compete offshore. 

It's disappointing to see there aren't more manufacturing clusters taking hold in NZ as shown in MBIE's report.

However, the report noted that, encouragingly, New Zealand's cluster development ranking in the latest Global Competitiveness Report had jumped from 64th in 2013 to 44th in 2018. 

Plus, it says Auckland's food and beverage industry has "all the hallmarks of an internationally significant cluster" and, "it is more realistic to think of New Zealand's clusters as emerging or 'micro-clusters' when compared to international peers."

Don't miss the chance to attend MAD2018 to be inspired by examples of positive collaborations between industry and researchers. Final registration closes at midnight on 11 May! See below for details...

Catherine Beard
027 463 3212 or cbeard@businessnz.org.nz

Easing off – PMI

New Zealand's level of manufacturing expansion decreased further in March, according to the BNZ - BusinessNZ Performance of Manufacturing Index (PMI).

The seasonally adjusted PMI for March was 52.2. This was 1.1 points lower than February, and the second consecutive decrease in overall expansion levels for 2018.

The manufacturing story of 2018 is still showing expansion, but at a different level to 2017.  On a positive note, the proportion of positive comments in March (55.1%) picked up from both February (51.4%) and January (50.7%). More...

NZ'S R&D tax incentive plan viewed as positive by business

The government's proposal to end Callaghan Innovation's growth grants and introduce a 12.5 percent research and development tax incentive has been widely viewed as positive by businesses not currently eligible for growth grants, but the opposition party claims it amounts to a cut in support.

Research, Science and Innovation Minister Megan Woods yesterday released a discussion document with the proposal and said over the next six weeks, the Ministry of Business, Innovation and Employment, Inland Revenue and Callaghan Innovation will be seeking feedback through a variety of channels.  The government's aim, said Woods, is to lift spending on R&D to 2.0 percent of gross domestic product by 2027. More...

Cluster manufacturing has failed to take hold in NZ manufacturing, MBIE report shows

Twenty-seven years after the Porter Project recommended New Zealand should pursue a "clusters" strategy to develop its manufacturing base, a government study of the manufacturing sector has found there are "few economically significant manufacturing clusters in New Zealand".

Without mentioning the government's commercialisation accelerator agency, Callaghan Innovation, by name, the Ministry of Business, Innovation and Employment's New Zealand Manufacturing Sector Report suggests that "new institutions may need to be established, or existing institutions modified".

Callaghan is expected to see funding cuts for direct grants to companies seeking research and development assistance in the May Budget, as the government moves to introduce a new R&D tax credits system. More...

New Zealand's medium-sized businesses aren't investing enough in R&D, MYOB says

Interesting article in the Herald recently about a new report on Kiwi firms' innovation...

Mid-market firms, which make up 6 per cent of all business, are not investing enough into research and development needed to grow, a new report reveals.

Twenty-three per cent of these firms spend less than 1 per cent of their revenue on R&D, and 26 per cent revealed they do not budget at all for R&D, as outlined in an MYOB report of 185 surveyed businesses late last year.

In New Zealand there are 31,000 medium-sized enterprises which contribute 40 per cent to the country's gross domestic product and dominate the manufacturing, construction and trade industries.

MYOB general manager Carolyn Luey said a lack of skilled staff was the main barrier to innovation for many medium-sized businesses. More...

MaD2018 registration deadline reminder

Final registration for MaD2018 closes at midnight on 11 May! 

Please CLICK HERE to register now.

MaD2018 offers a full programme including:

  • 66 engaging, short TED-Talk-Type Oral Presentations evenly split between researchers and industry representatives across concurrent sessions
  • 32 Poster Presentations, to be displayed in the exhibition and networking area together with sponsor and supporter Exhibition Booths
  • 5 high-calibre Keynote Speakers, all leaders in their fields and with excellent insight into manufacturing and design, both locally and internationally
  • 6 Panel Discussions, led by experts in the respective areas, covering a selection of relevant and important topics
  • A ticketed Gala Dinner on Monday 21 May 2018 with a key address by Hon Dr Megan Woods – Minister of Research, Science and Innovation
  • Ample networking opportunity across the two-day event, including a collaborative match-making session

Come along to MaD2018 (a Featured Event within the Techweek'18 Programme) to learn about exciting, new manufacturing and design research and to be inspired through examples of positive collaborations between industry and researchers.

When: Monday 21 - Tuesday 22 May, 2018

Where: ANZ Viaduct Event Centre, Auckland.

More conference information here->>  

Give your feedback to WorkSafe New Zealand

WorkSafe New Zealand is consulting on proposed changes to Workplace Exposure Standards (WESs) for the following substances: Beryllium, Cobalt, Chromium (VI), Manganese, Nickel, Perchloroethylene, Portland cement, synthetic mineral (vitreous) fibres, sulphuric acid, and total welding fume.

Reviews for each of these proposed WESs have been carried out by WorkSafe.  There are separate proposal documents for each of the proposed WESs.  The proposal documents and the Submission Document are located here.

Feedback is welcomed from individuals, businesses and industry associations. To provide a submission please use (only use) the submission spreadsheet.
The deadline for response is 29th June 2018.
Where to send your response: exposurestandards@worksafe.govt.nz. Subject line: Consultation on WES and BEIs.

NZ firm wins London Transport contract

Broadcasting, Communications and Digital Media Minister Clare Curran has congratulated the New Zealand firm Tait Communications which has won the contract to install new technology on London’s transport network.

“Christchurch based Tait Communications has beaten out major manufacturers from around the world to do the work, worth around $30 million. It’s wonderful to see a New Zealand technology company being innovative and forward thinking to develop a resilient system for the UK capital,” Ms Curran says.

“Tait will manufacture and replace both the communications infrastructure providing coverage across Greater London and the terminal equipment on London’s fleet of almost 10,000 buses as they switch from analogue to digital communications. More...

Growing Global - case study on unlocking sales

Family-owned manufacturing business Te Pari enjoyed robust trade with its UK distributor – but co-owner Jeremy Blampied knew exactly what he needed to unlock a huge jump in sales: generous payment terms.

Oamaru-based Te Pari had been selling livestock handling equipment to Shearwell Data in Somerset, England, for two years and sales were strong. Both companies were keen to increase the volumes they were trading, but Te Pari could only offer short payment terms.

“We wanted to grow the product but cashflow was constrained on both sides of the equation,” Blampied explains.
After seeing a presentation at Fieldays from the New Zealand Export Credit Office (NZECO), Blampied began to see a win-win possibility in the form of NZECO’s Trade Credit Insurance. More...

Contract Manufacturers

Don’t forget to check out our contract manufacturers directory if you are looking for contract manufacturing support or you are wanting to advertise your services! 

There are some great resources - see here->>

ManufacturingNZ
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