Dynamic Business: Taking Māori business beyond the three ‘F’s

Anthony Ruakere. Photo / Supplied

Māori business activity has traditionally been characterised by engagement with the three “F’s”: fishing, farming and forestry. This is not surprising — the whakapapa that binds Māori to their lands and waters imbues kaitiaki obligations to protect, preserve and maintain the resources.

Whilst the list of ‘F’s has expanded more recently to include the likes of food, film and fashion, the growth and diversity (across sectors and industries) is what, in the main informs this piece.

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Since 2020 we’ve seen 24 per cent growth across the total asset base of Māori entities on the 2022 Deloitte Top 10 Business Māori Business Index. Those on the 2022 index collectively represent $8.41 billion in assets.

Ngāi Tahu, Waikato-Tainui and Ngāti Whātua Ōrākei have maintained their top three positions again on the 2022 index. Although Covid and other events have likely influenced performance, those organisations have nonetheless continued to grow 25 per cent, 38 per cent and 24 per cent (respectively) between 2020 and 2022.

Many Māori businesses, including those on the Top 10 Māori Business Index continue to focus heavily on primary sector activity and investments. A 2021 snapshot of Māori sector showed agriculture, fishing and forestry still held the top spot with assets of $23.4b. However, real estate and property services assets were not far behind at $16.7b, while manufacturing, transport, and construction combined to deliver $12.2b. Illustrating this is the continuing heavy investment in agriculture, seafood and forestry by Te Rūnanganui o Ngāi Tahu (via Ngāi Tahu Investments). The tribe is actively creating portfolio resilience and growing tribal wealth by seeking new investment opportunities. Recent investments in Fidelity Life, Hilton Haulage and Ryman Healthcare speak to this, as does new economy investment in activities such as energy transition, automation and artificial intelligence.

Tainui Group Holdings manages Waikato-Tainui fishing quota and utilises its ownership of over 4000 hectares of Waikato land to support dairy, sheep, beef and forestry operations. However, with property investments in the Ruakura Superhub (a logistics and industrial hub connecting all of Aotearoa), The Base, Novotel Tainui and direct and equity investments, diversification away from the three ‘F’s is evident.

Though the tribal domain of Ngāti Whātua Ōrākei doesn’t lend itself as naturally to primary sector business as it does for some rurally domiciled iwi or hapū, their extensive involvement in property development, commercial property, whānau, papakāinga and kaumatua housing speaks to diversification, and a desire to maximise returns for the benefit of future generations.

This underpins and is a consistent driver for Māori business interests irrespective of geographical location.

Aided by the emergence of commercially and culturally astute Māori business leaders, building resilience by balancing traditional and new business activities will hopefully serve Māori business growth aspirations well as the economic headwinds gather pace.

· Anthony Ruakere is a consulting and Hourua Pae Rau partner at Deloitte