Yet to Be Determined - Assets, Tobacco, Zimbabwean Sanctions

Monday, 23 July 2012, 6:21 pm
Article: Mark P. Williams

In today's post-cabinet press conference the Prime Minister discussed the economic outcomes from the National Party conference and announced his activities for this week. He emphasised that economic growth remains the central concern of his government and said that the New Zealand economy is growing despite the tough economic situation globally.

The Prime Minister was keen to point out that although there is "no silver bullet for economic growth" New Zealand, he said, is well placed to take advantage of the growing middle class markets in China and Asia in producing dairy and protein and better quality education. He added that the responsible, well-managed expansion of oil and gas exploration have the potential to create skilled jobs and significant economic growth by making New Zealand a more attractive place for people to live, work and invest in. He said New Zealand must focus on areas of real growth, particularly savings, exports and productive investment.

Next Tuesday he will be leading a diplomatic visit to Samoa to commemorate New Zealand's treaty of friendship with Samoa which was signed in 1962. The PM will also speak at the Robert Louis Stevenson Museum where the treaty was signed.

He also announced a visit to New Zealand by Zimbabwean Prime Minister Morgan Tsvangirai, leader of the Movement for Democratic Change, to take place on Wednesday. Mr Tsvangirai and the Prime Minister will discuss the situation in Zimbabwe and the effects of the ongoing targeted bilateral sanctions New Zealand imposed against the Presidential regime of Robert Mugabe in 2002.

Questions:

The PM then answered questions on the distribution of shares from the Mixed Ownership Model; on Tariana Turia's proposed Tobacco Reforms and on New Zealand's sanctions against Zimbabwe:

The PM was asked what percentage of shared would be held back? He responded that this had yet to be determined but disputed Labour's suggested figures.

The PM was asked whether the same profile of shares would be rolled out for other Mixed Ownership Model assets or whether the current proposed loyalty bonus would be unique to Mighty River Power; he responded that it remained to be seen.

The PM was asked a number of questions about the tobacco reform legislation being proposed by Tariana Turia; he emphasised that he was primarily concerned to use pricing as a way of reducing numbers; he categorically ruled out making tobacco illegal as impractical; and he indicated that he was not concerned about the possibilities of the New Zealand government being legally prevented from carrying out its proposed measures, either by tobacco-producing countries or tobacco companies

The PM was asked to what extent the measures New Zealand adopted in respect to tobacco were determined by Australia. He responded that New Zealand remains an Australasian market and often took Australia's lead but was not afraid to take wholly independent decisions.

The PM was questioned about the case involving Nick Smith and MacKenzie Basin. He indicated that he had not seen anything that indicated that there was a problem. He added that if the major problem with the case was that former Environment Minister Nick Smith knew the firm's head, Guy Salmon, and that was a rationale for rejecting the application then most government sector applications would be rejected because "we know an awful lot of people".

The PM was asked if he would be seeking to ease New Zealand's sanctions on Zimbabwe in light of the visit by Mr Tsvangirai; he said that the question of sanctions and their effectiveness were questions he intended to raise and would be seeking to gain Mr Tsvanairai's impression of the current situation in the country.

Finally, the PM was asked if he had received any advice regarding the outcome of the police investigation into John Banks regarding his connection with Kim Dotcom. The Prime Minister said that he had not and would not expect to receive any advice on the matter in advance of the police decision.

ENDS

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