Stan Gregec, Tauranga Chamber of Commerce chief executive.
Stan Gregec, Tauranga Chamber of Commerce chief executive.
It has been a boom year for most Bay of Plenty businesses. The region has consistently attracted new talent and businesses. Long-awaited city campus funding was signed off and government support for the region's collaborative approach to business was made a reality with the Regional Growth Study being implemented. The kiwifruit export industry has experienced an unprecedented surge, while the region's entrepreneurial ecosystem is continuing to grow, with new local funding sources for early stage companies expected next year. Some of the region's key business leaders shared their thoughts with David Porter .
Stan Gregec
Chief executive, Tauranga Chamber of Commerce
"This year has been nothing short of a boom year and an exciting time to be in business in Tauranga. The huge growth in people moving to the city from Auckland and elsewhere has contributed to a buoyant house market as well as strong investment in new businesses and expansion of existing activity.
"Tauranga business people are seeing record levels of confidence and activity. It's great to see a strong and vibrant entrepreneurial sector, with lots of new startups and new business ideas emerging.
"I think we will see the start of a considerable transformation of both the physical landscape of the city heart as well as the creation of a working and cultural environment we can all enjoy. Tauranga is well and truly starting to grow up.
"I have every expectation that 2016 will continue to be another vibrant year."
"This has been a huge year for the Rotorua business community. The increase in both business confidence and economic trends that we had noted this time last year has been sustained over the past 12 months. This has meant that local businesses have invested and grown and we have seen many commercial developments around town.
"This year has seen a lift in commercial consents - the first lift since 2010 - and we have seen many commercial buildings erected in the city over the year and jobs created. Tourism numbers have really skyrocketed and with that, the retail spend has increased. GDP growth is one of the highest in the country. Indications are that this growth will be sustained in 2016 with tourism numbers looking set to increase. There are plenty of opportunities in these markets.
Darrin Walsh
"The challenges include the fact that it will be an election year and we have to block the negative messages. We need to look at the facts - business in Rotorua is going well. We need to drive more commercial and residential development and create more jobs for our region."
Andrew Coker
Andrew Coker
Chief executive Priority One
"By virtually every measure the region's economy is performing strongly. We've had the highest population growth and, as a consequence, record building consent levels and the country's fastest growing job market. It is clear the economic landscape in the Western Bay of Plenty is becoming substantially deeper, broader and more robust.
"The Bay of Plenty Regional Growth Study has identified a number of industry-aligned opportunities, which are starting to be implemented. Priority One also partnered with the Ministry for Business, Innovation & Employment and together led the development of an international investment strategy, which will substantially enhance the sub-region's ability to attract investor migrants as well as foreign direct investment.
"Next year is shaping up to be just as exciting as we increasingly become a national and international hot-spot for entrepreneurs and innovation. We also look forward to the possibility of seeing the exciting initiatives proposed by the Civic Amenities Group progress as their partnership with Tauranga City Council unfolds."
"We have had another very busy year, where we have knocked off a number of further strategic building blocks, in preparing for a future in which much larger ships will be regular callers to our port. In particular the past year has been significant in seeing us commit to the final building block in awarding the dredging tender to Danish company, Rohde Nielsen. The 2000cu m Brage R started work in September and will be joined by a much larger dredge, the 6000cu m Balder R, by the end of the year.
"The dredging project is the culmination of a five-year, $350 million investment programme to future-proof the port for the next 20-to-30 years and will make us the first New Zealand port able to host container ships with a capacity of 6500 TEUs at low water tides, which the New Zealand Shippers Council estimates will unlock in excess of $330 million of annual benefits to New Zealand's exporters."
Simon Limmer
Simon Limmer
Chief operating officer, Zespri
"The kiwifruit industry reached a major milestone this year, with fruit volumes exceeding pre-Psa levels for the first time. Grower returns held strong with the rising volumes, and orchard values have also increased.
2015 has seen the strong performance of both Green and SunGold (G3) in the markets even as NZ SunGold volumes more than doubled, while NZ Green volumes increased from 70 million trays to 80 million trays. Zespri sources premium-quality kiwifruit from Northern Hemisphere orchards to supply the market and offshore Gold volumes are also set to increase strongly.
China sales increased by around 40 per cent in 2015 to a record 18 million trays. China is set to be our largest country market by volume next year: it will also have highest Gold OGR next year and will be largest market by value in the next few years, overtaking Japan which also achieved record sales."
Bill Murphy
Bill Murphy
Executive director, Enterprise Angels
"Since we were set up in 2008, Enterprise Angels members and funds have invested more than $16.7 million in 48 firms in New Zealand, including nearly $7 million in nine Bay of Plenty companies. We also launched our first sidecar fund EA Fund 1, which has been investing alongside our members and other investors in companies we have identified.
"Early next year we are expecting some exciting news for at least three of our investee companies, including substantial dividend payouts, public listings and bringing on one of New Zealand's largest corporates as a key customer, investor and strategic partner.
"In February, 2016, we will be launching a bigger vehicle, EA Fund 2, which is expected to be a $5 million-to-$6 million fund. EA has now created the team, resources and expertise to run a best practice approach to early-stage investing. We will be taking this out more widely and giving eligible investors the opportunity to invest alongside EA angel investors and benefit from our approach through being limited partners in EA Fund 2 and other vehicles."
