Hon Andrew Hoggard
Minister for Biosecurity

Biosecurity Minister Andrew Hoggard says that a new economic impact analysis report reinforces this government’s commitment to ‘stamp out’ any New Zealand foot and mouth disease incursion.

“The new analysis, produced by the New Zealand Institute of Economic Research, shows an incursion of the disease in New Zealand would have dramatic impacts, with an immediate halt to most exports of animal products and a potential and ongoing drop in export values of around $14.3 billion a year,” says Mr Hoggard.

“Immediate and decisive action will be required if an outbreak occurred and this is why Cabinet has endorsed an approach of urgent eradication, along with the use of vaccination if appropriate.

“The Ministry for Primary Industries presented three management options for consideration - ‘stamping out’ the disease, with the possible use of emergency vaccination for short-term containment as needed; managing an outbreak over a longer period using vaccination; or living with the disease.

“The evidence clearly supported ‘stamping out’ the disease, either with or without emergency vaccination.

“Using emergency vaccination would take around 10 months to achieve, cost around $1.9 billion in operating costs and compensation, and see a one-off $8.4 billion impact on the economy in lost trade. The option to stamp out without vaccination would take 15 months, cost $2.98 billion and carry a $15.3 billion dollar loss of trade.

“Living with the disease would have an ongoing annual economic impact of $14.3 billion.

“Today I’m releasing the economic analysis report and the Cabinet Paper on the initial strategic response so people can understand the impacts of foot and mouth disease and the importance of keeping it out of the country and preparing to effectively manage it if it occurred.

“The best way to manage any incursion is to keep unwanted pests and diseases out in the first place which is why the Government is committed to maintaining a strong border, and robust biosecurity systems.”

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