Port of Tauranga economic impacts

Port of Tauranga economic impacts

In addition to the news that Port of Tauranga profits were up 25 per cent this year, a new report highlights the significant contribution the port makes to the regional and national economy.

The report commissioned by the Port of Tauranga and authored by regional economic expert Associate Professor Warren Hughes at Waikato University’s Management School details the crucial role the port is playing in generating wealth and employment.

“The port, either directly or indirectly impacts 41.6 per cent of Bay of Plenty employment and 5.1 per cent of New Zealand employment. Those are significant figures,” says Dr Hughes. From the June 2006 year, total revenue from the port operations was $121.9 million, double that of eight years ago, and two out of every five workers in the Bay of Plenty have a job in some way related to port activities. “Part of this rapid growth in revenue can be attributed to the integration of the MetroPort facility in South Auckland, the close links between the port and New Zealand’s water and rail services sector, kiwifruit export and further development of other fruit and vegetable exports.”

On top of that, says Dr Hughes, there are significant linkages to the cruise ships visiting the Bay, which together with the port-sponsored Ironman event, shows how the Port makes a significant contribution to developing and sustaining business sectors in the wider BOP region.

The current annual growth rate of the port’s influence on the BOP (7.7%) and New Zealand (5.0%) economies puts the port in a strong position regarding ongoing negotiations regarding port mergers and the Maersk decision on New Zealand port selection. “Should a waterfront stadium proceed with a consequent reduction in Ports of Auckland operations, the Port of Tauranga is well placed to expand operations in Onehunga and Tauranga to accommodate increased shipping requirements,” says Warren Hughes.

Copies of the report are available from alisonr@waikato.ac.nz

ends

© Scoop Media