T A R A N A K I F A C T S A N D F I G U R E S
SUMMER
2016-2017
TGM CREA
TIVE J001110
Taranaki’s Regional Development Agency
9 Robe Street | PO Box 670 | New Plymouth
P. (06) 759 5150
E. info@taranaki.info
www.taranaki.info
An initiative of
P A G E 2 9
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
About Venture Taranaki
As Taranaki’s Regional Development Agency, Venture Taranaki is committed to helping Taranaki grow.
That’s why we’re interested in helping to make your business a success.
If you need advice and assistance or access to information and knowledge to support your business aspiration, we offer a single point of contact to provide the help you require.
If you are:
•
Thinking of starting up a business
•
Considering relocating or investing in Taranaki
•
Trying to grow your business, or if your business is going through changes
We have a range of products and services to meet your business needs, and best of all, most of them are free!
Information is available on-line at www.business.taranaki.info or call us:
Venture Taranaki
9 Robe Street
PO Box 670
New Plymouth
Telephone (06) 759 5150
Email: info@taranaki.info
Facebook: TaranakiNZ
Twitter: @Taranaki_NZ
Web: www.taranaki.info
An initiative of
Disclaimer:
Venture Taranaki’s services and opinions are of a general nature and should be used as a guide only. They are not a substitute for commercial judgment or independent professional advice which should be
obtained prior to any business matter. While every effort has been made to ensure that the information, opinions and forecasts provided are accurate and reliable, Venture Taranaki shall not be liable for any adverse
consequences of decisions made in reliance of any report provided in this publication.
Taranaki Trends
WELCOME TO TARANAKI TRENDS SUMMER 2016-2017
In an economic landscape where our core industries are under price pressure from global forces, the move to diversify our region’s income
streams becomes increasingly important. Momentum continues in many of the industries that perhaps get less attention than energy and dairying,
and this edition of Taranaki Trends takes a closer look at two of them – manufacturing and tourism.
The broader manufacturing sector contributes $888 million to Taranaki’s GDP – 11 percent of the regional total – and results in 8,619 jobs.
Dairy manufacturing contributes more than 20 percent of these positions, as does combined metal, machinery and engineering. However meat,
poultry and timber processing, fertiliser and bread manufacturing are also significant contributors.
Tourism has been a strong performer over recent months, with the sector further helping Taranaki manage the impacts of global commodity
fluctuations. Regional visitor guest nights grew 8.5 percent year-on-year to the end of June, which compares to nationwide growth of 5.8 percent
– a figure being hailed a success story. Furthermore, the number of nights spent in the region by international visitors grew 20.3 percent, while
average length of stay rose from 2.04 to 2.16 nights.
Importantly, tourism supports many other sectors, directly through visitor spend, and indirectly through building regional profile, awareness and
perceptions, which can in turn influence supply and purchase decisions and migration growth towards the region’s population target of 135,000
residents by 2035. While the main benefits may prove economic, that sense of regional pride we experience in showcasing our province and its
numerous attractions are immeasurable, and important.
Dr Anne Probert
General Manager, Economy & Sector Development
Venture Taranaki
Summer Edition 2016 - 2017: This edition of Taranaki Trends is published in October 2016 and remains current until April 2017
•
Cover Photo: John Crawford / Howard Wright
P A G E 1
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Economic Summary
NATURAL INCREASE IN
POPULATION
(BIRTHS LESS DEATHS)
FOR YEAR ENDING JUNE 2016
compared to previous 12 months.
NET MIGRATION GAIN FROM
MORE PEOPLE ARRIVING AND
PERMANENTLY LOCATING
IN TARANAKI FROM OVERSEAS
THAN INTERNATIONAL
DEPARTURES YEAR ENDING
JUNE 2016
Compared to previous 12 months.
DEATHS FOR THE YEAR ENDING
JUNE 2016
Compared to previous 12 months.
VALUE OF CONSTRUCTION
CONSENTS FOR YEAR ENDING
JUNE 2016
Compared to previous 12 months.
AVERAGE HOUSE VALUATIONS FOR
JUNE 2016 RELATIVE TO
JUNE 2015
in the New Plymouth, Stratford and South Taranaki
Districts.
HOME AFFORDABILITY WITHIN
TARANAKI
relative to same period 12 months prior.
AVERAGE WEEKLY RENTALS IN
NEW PLYMOUTH (MAY 2016)
relative to same time 12 months ago.
RETAIL SALES FOR THE SIX
MONTHS ENDING JUNE 2016
relative to the same period in 2015.
NUMBER OF GUEST NIGHTS
BY VISITORS STAYING IN
COMMERCIAL ACCOMMODATION
OUTLETS WITHIN TARANAKI FOR
YEAR ENDING JUNE 2016
Compared to previous 12 months.
BIRTHS IN THE REGION FOR THE
YEAR ENDING JUNE 2016
Compared to previous 12 months.
TARANAKI’S UNEMPLOYMENT
RATE
in June quarter compared with same period 2015.
NUMBER OF DAIRY CATTLE IN
TARANAKI FOR YEAR ENDING 2015
relative to previous 12 month period.
ECONOMIC CONFIDENCE
– FEWER TARANAKI BUSINESS
RESPONDENTS ANTICIPATE
IMPROVED ECONOMIC TRADING
CONDITIONS IN THE COMING
12 MONTHS
The majority anticipate continuation of status quo.
P A G E 2
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Gross Domestic Product
NEW ZEALAND’S GROSS DOMESTIC PRODUCT
(GDP)
FOR THE YEAR ENDING JUNE 2016 WAS CIRCA
$227 BILLION.
ECONOMIC ACTIVITY, AS MEASURED BY GDP, INCREASED 0.9 PERCENT IN THE JUNE 2016 QUARTER.
1.6
1.4
1.2
1.0
0.8
0.6
0.4
0.2
0.0
-0.2
-0.4
-0.6
Jun-10 Sep Dec Mar
Jun-11
Sep Dec Mar
Jun-12
Sep Dec Mar
Jun-13
Sep Dec Mar Jun-14
Sep Dec Mar
Jun-15 Sep Dec Mar
Jun-16
P A G E 3
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
SHARE OF THE ECONOMY
Key industry groupings within the GDP
analysis include:
THE SERVICES GROUPING COMPRISES THE LARGEST SHARE
OF GDP, HOWEVER THE GOODS PRODUCING GROUPING
CONTRIBUTED THE MOST TO QUARTERLY GROWTH.
THE LARGEST INCREASE IN THE JUNE QUARTERLY RESULT
WAS IN CONSTRUCTION, WHICH WAS UP 5.0 PERCENT. MINING
DECREASED 2.5 PERCENT DURING THIS PERIOD DUE TO LOWER
PRODUCTION IN OIL AND GAS AND ALSO COAL.
PRIMARY
Including e.g.
agriculture, oil, gas
and mining
GOODS
PRODUCING
Including e.g.
manufacturing,
construction,
electricity and water
SERVICES
Including e.g. retail,
wholesale trade,
finance, education
and health
INDUSTRY GROWTH DURING JUNE 2016 QUARTER
PRIMARY
GOODS
PRODUCING
SERVICES
2
1.8
1.6
1.4
1.2
1
0.8
0.6
0.4
0.2
0
Primary
Goods
producing
Services
0.5
1.9
0.9
P A G E 4
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
-7.3
International Trade
EXPORTS FROM NEW ZEALAND
TOTALLED
$49.3 BILLION
FOR THE YEAR ENDING JUNE 2016.
TOP THREE EXPORT EARNERS WERE:
MILK POWDER, BUTTER, CHEESE
MEAT LOGS & WOOD
THE GLOBAL DECLINE IN OIL PRICE HAS HAD
A SIGNIFICANT IMPACT ON EXPORT RETURNS
FROM CRUDE OIL. THESE TOTALLED
$589 MILLION FOR THE 12 MONTH PERIOD – A
DECLINE OF 40% ON THE PREVIOUS 12 MONTH
PERIOD. CRUDE OIL WAS
NEW ZEALAND’S 4TH HIGHEST EXPORT EARNER
BUT IS CURRENTLY RANKED 19TH.
VALUE OF EXPORTS YEAR TO JUNE 2016 ($ MILLION) - NEW ZEALAND TOP 20
PERCENTAGE CHANGE IN VALUE OF EXPORTS
12 MONTHS TO JUNE 2016 RELATIVE TO PREVIOUS 12 MONTHS
12,000
10,000
8,000
6,000
4,000
2,000
0
50.0
40.0
30.0
20.0
10.0
0
-10.0
-20.0
-30.0
-40.0
3.7
7.2
30.6
2.8
12.6
10.2
30.3
36.9
10.2
-13.1
-8.5
7.0 7.3
-5.6
8.9
-3.0
0.7
-40.1
5.6
Milk powder
, butter
, and cheese
Meat and edible of
fal
Logs, wood, and wood articles
Fruit
Mechanical machinery and equipment
Fish, crustaceans, and molluscs
W
ine
Miscellaneous edible pr
eparations
Pr
eparations of cer
eals, flour
, and star
ch
Electrical machinery and equipment
Casein and caseinates
Aluminum and aluminum articles
Optical, medical, and measuring equipment
Pr
ecious metals, jewellery
, and coins
W
ool
W
ood pulp and waste paper
Iron and steel, and articles
Textiles and textile articles
Crude oil
Plastic and plastic articles
P A G E 5
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
CPI
JUNE 2016 QUARTER
0.4%
ANNUAL CHANGE
0.4%
CONSUMER PRICE INDEX (CPI) – NEW ZEALAND
INCREASES
OCCURRED IN
PETROL PRICES
(UP 5.3%) AND
HOUSING-RELATED
COSTS ASSOCIATED
WITH THE
PURCHASE OF NEW
HOUSING
EXCLUDING LAND
(UP 2.1%)
QUARTERLY CHANGE IN CPI JUNE 2016 QUARTER
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
2008
2009
2010
2011
2012
2013
2014
2015
2016
2.5
2.0
1.5
1.0
0.5
0.0
-0.5
-1.0
P A G E 6
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Taranaki – Key statistics at a glance
MANAWATU-
WHANGANUI
= GROWTH
2014 - 2015
109,608
TARANAKI
POPULATION
GDP:
8.8
BILLION
3.6% OF
NEW ZEALAND’S GDP
UP
0.6
%
EMPLOYEE COUNT
50,960
EMPLOYEE COUNT
IN TARANAKI
NEW ZEALAND
38.0
YEARS
TARANAKI
39.9
YEARS
MEDIAN AGE OF POPULATION
5.3
POPULATION GROWTH
(2006 - 2013)
%
15,153
BUSINESSES IN TARANAKI
UP
1
%
NUMBER OF
BUSINESSES
2.6%
TARANAKI %
OF NEW ZEALAND'S
POPULATION
NEW ZEALAND'S
TOTAL POPULATION
3.6
OF NEW ZEALAND'S
GDP
%
P A G E 7
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
% POPULATION AGED 65 YEARS AND OVER:
16.2
TARANAKI
%
14.3
NEW ZEALAND
%
NEW ZEALAND
20.4%
TARANAKI
21.1%
% POPULATION AGED UNDER 15 YEARS
ETHNIC COMPOSITION %
Taranaki
New Zealand
86.2%
74%
17.4%
14.9%
7.4%
1.6%
3.4%
11.8%
0.4%1.2%
4.0%
2.3%
100
90
80
70
60
50
40
30
20
10
0
European
Maori
Pacific Peoples
Asian
Other Ethnicity
Middle Eastern,
Latin American,
African
P A G E 8
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Taranaki Economic Outlook
June 2016 Business Survey Findings
1,400 TARANAKI BUSINESSES WERE SURVEYED IN JUNE 2016
REGARDING THE STATE OF THE NEW ZEALAND ECONOMY AND
TRADING CONDITIONS FOR THE NEXT 12 MONTHS.
23% ANTICIPATED
IMPROVEMENT
(DOWN FROM 28%)
60% ANTICIPATED
THE STATUS QUO WILL
PREVAIL
(UP FROM 54%)
15% PREDICTED
DETERIORATION
(DOWN FROM 16%)
2% WERE UNSURE
NZ BUSINESS CONDITIONS - NEXT 12 MONTHS
Unsure
Remain The Same
Improve
Deterioriate
70%
60%
50%
40%
30%
20%
10%
0%
May-07 Nov-07 May-08 Nov-08 May-09 Dec-09 May-10 Dec-10 Jun-11 Dec-11 Jun-12Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16
P A G E 9
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Labour Force
JUNE QUARTER 2016 UNEMPLOYMENT RATE
TARANAKI
4.8%
NEW ZEALAND
5.1%
QUARTERLY UNEMPLOYMENT RATE
New Zealand
Taranaki
Unemployment Rate
June 2016 Quarter (Compared with June 2015 Quarter)
BAY OF PLENTY
5.1%
(DOWN 1.1 PP)
NORTHLAND
10.6%
(UP 3.1 PP)
GISBORNE /
HAWKES BAY
5.0%
(DOWN 2.6 PP)
WELLINGTON
5.3%
(UP 0.2 PP)
CANTERBURY
3.2%
(UP 0.2 PP)
OTAGO
4.5%
(UP 0.7 PP)
SOTHLAND
5.0%
(DOWN 0.3 PP)
NELSON / TASMAN /
MARLBOUGH / WEST COAST
5.9%
(UP 1.6 PP)
AUCKLAND
4.7%
(DOWN 1.2 PP)
WAIKATO
4.8%
(DOWN 0.2 PP)
TARANAKI
4.8%
(DOWN 2.4 PP)
UNEMPLOYMENT RATE %
Up to 4.0
4.1 tp 5.0
5.1 to 6.0
6.1 and over
*pp = percentage points
NORTH ISLAND
5.2%
(DOWN 0.7 PP)
SOUTH ISLAND
4.1%
(UP 0.5 PP)
MANAWATU-WANGANUI
5.6%
(DOWN 0.9 PP)
Per
cent
8
7
6
5
4
3
2
1
0
Dec-13 Feb-14 Apr
-14
Jun-14 Aug-14 Oct-14 Dec-14 Feb-15 Apr
-15
Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr
-16
Jun-16
P A G E 1 0
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Incomes in Taranaki
TOTAL PERSONAL INCOME (% BY INCOME BRACKET) - TARANAKI V NZ
TOTAL HOUSEHOLD INCOME $
THE FOLLOWING TABLES OF PERSONAL AND HOUSEHOLD INCOME COLLECTED VIA THE 2013 CENSUS, ARE INCLUSIVE OF ALL
FORMS OF INCOME. TOTAL INCOME INCLUDES WAGES, VARIOUS FORMS OF BENEFITS SUCH AS UNEMPLOYMENT, DOMESTIC
PURPOSE, SUPERANNUATION, ACC, AS WELL AS COMMISSIONS, BONUSES, DIVIDENDS, INCOMES FROM RENT, INTEREST AND OTHER
INVESTMENTS, AND INCLUDES REPORTING 'NO INCOME' FOR THE YEAR ENDING 31ST
MARCH 2013.
New Zealand
Taranaki
MEDIAN TOTAL PERSONAL INCOME
NEW ZEALAND
$28,500
TARANAKI
$29,100
TOTAL HOUSEHOLD INCOME
NEW ZEALAND
$63,800
TARANAKI
$58,400
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
Northland Region
Auckland Region
W
aikato Region
Bay Of Plenty Region
Gisbor
ne Region
Hawke's Bay Region
Taranaki Region
Manawatu-W
anganui Region
W
ellington Region
Tasman Region
Nelson Region
Marlbor
ough Region
W
est-Coast Region
Canterbury Region
Otago Regaion
Southland Region
46,900
76,500
59,600
54,600
50,500
53,200
50,000
58,400
74,300
53,500
54,300
55,200
55,000
65,000
56,400
57,400
12.0
10.0
8.0
6.0
4.0
2.0
0.0
Loss
Zer
o income$1-$5,000
$5,001-$10,000
$10,001-$15,000
$15,001-$20,000
$20,001-$25,000
$25,001-$30,000
$30,001-$35,000
$35,001-$40,000
$40,001-$50,000
$50,001-$60,000
$60,001-$70,000
$70,001-$100,000
$100,001-$150,000
$150,001 or Mor
e
P A G E 1 1
T A R A N A K I T R E N D S S U M M E R 2 0 1 6 - 2 0 1 7
Natural Population Increase
THE NATURAL POPULATION
INCREASE OF 465 PEOPLE
THAT OCCURRED IN TARANAKI DURING 2016 WAS DUE TO THE NUMBER
OF BIRTHS EXCEEDING THE NUMBER OF DEATHS. HOWEVER GROWTH IN
THE NUMBER OF BIRTHS HAS DECLINED AND DEATHS HAS INCREASED
RELATIVE TO SAME PERIOD IN 2015.
THERE WERE
1,497 BIRTHS
IN TARANAKI DURING 2016 AND 1,032 DEATHS, RESULTING
IN A NATURAL POPULATION INCREASE OF 465 PEOPLE.
AN
NU
AL
C
HA
NG
E
IN
B
IR
TH
S
20
15
-20
16 (
JUNE)
TARANAKI
-6.6
%
NEW ZEALAND
-1.0
%
NEW ZEALAND
-0.6
%
ANN
UA
L C
HA
NG
E I