14 May, 2020
New Zealand Trade and Enterprise (NZTE) will significantly increase support for exporters to position for recovery from the impact of COVID-19, thanks to the announcement today of new funding of $216 million over four years.
NZTE Chair Andrew Ferrier said the global environment in which we trade has profoundly changed and that New Zealand's export sector will be a critical enabler and an important leg of a sustained domestic economic recovery.
"The overall export recovery needs to deliver strong outcomes for sectors such as Food and Beverage, Technology and Specialised Manufacturing and support in mature, international markets. "
NZTE Chief Executive Peter Chrisp said the $216 million package from the COVID-19 Response and Recovery Fund is designed to accelerate the transformation of the export economy from volume to value and increase our emphasis on premium markets.
"The Government is committed to increasing our environmental sustainability as a source of competitive advantage. There will also be a focus on delivering more value to Māori exporters and investors. "
"These priorities will be complemented by New Zealand-wide industry strategies, that are shared across the Government, and with the private sector. The package forms part of a broader Trade plan that the Ministry of Foreign Affairs and Trade (MFAT) and NZTE will lead together, " said Mr. Chrisp.
The immediate upscaling of support to revitalise the international business sector will include:
Significantly increasing the number of exporters that receive intensive support from NZTE. This will provide access to tailored NZTE and NZ Inc. resources to develop capability and connect with overseas markets and global partners. Collectively, these exporters directly employ over 200,000 people. About 75% of these firms are expected to be SMEs with 50 or fewer employees.
Boosting NZTE's reach across New Zealand's broader export sector through increased delivery of practical digital services and tools. This will scale up NZTE's e-Commerce capability to provide digital commerce content, tools and advice to more exporters. A new initiative focussing on supply chain will also be tasked with building firm capability in freight and logistics for the medium term, and to help build capability within export firms.
Growing NZTE's team of in-market business development managers to be the 'boots on the ground' for New Zealand exporters, while international travel remains restricted. It is envisaged this team will potentially carry out additional functions for companies in-market, such as meeting customers, vetting new employees, and selecting distributors.
A significant portion of the fund allocated to expand the International Growth Fund (IGF) to help re-connect companies with international markets and supply chain partners, as well as explore new opportunities.
Strengthening of New Zealand's brand in priority markets by maintaining, promoting and broadening our national brand appeal, particularly while the tourism sector is recovering. This investment will re-emphasise our reputation for safety, trust, resilience, ingenuity, sustainability and high-value goods and services through the highly successful New Zealand Story strategy.
Focussing on building the investment capacity in the New Zealand market by channelling stronger domestic private sector investment into New Zealand companies. Increasing investment capability building for more companies to ensure they are well prepared to succeed in investment-raising discussions with investors.