Racing industry losing ground

Top jockey Opie Bosson indicated that his future was likely to be in Australia. Photo / Greg Bowker

The time when a Kiwi-owned-and-trained horse wins the Melbourne Cup is likely gone.

New Zealand is becoming a breeding ground of good race horses for the rest of the world while its racing industry fades. Leading trainer Murray Baker, top jockey Opie Bosson and businessman and owner Eric Watson have expressed concerns. Bosson indicated that his future was likely to be in Australia.

Watson said Government help was needed, particularly to bring back to racing some of the money spent with overseas bookmakers.

Their comments come as last month's New Zealand Bloodstock Ready to Run sale broke Australasian records with 89 per cent of the $23.36 million spent on 254 horses coming from overseas buyers.

Hong Kong and Australian interests each spent $7 million, Singapore $3.5 million, China $2 million and Macau $1 million. Chinese interest is growing fast on the back of Lang Lin, the charismatic owner of Caulfield Cup winner Mongolian Khan, who is leading the development of racing in China where there are plans to trial betting.

"If gambling is ever legalised in China it will be incredible," said Andrew Seabrook, NZ Bloodstock's managing director, bloodstock and finance. "New Zealand won't be able to breed enough horses to supply their demand." While great for breeders, he said racing here continues to struggle.

"Racing has gone international but New Zealand has been left behind because it is out on a limb," Murray Baker, co-trainer of Mongolian Khan, told the Herald last month.

"Racing is waning here. There is not enough money in it. Like all trainers and owners will tell you, we have to do something about our prizemoney. It's far too low. Otherwise we'll just be known for breeding, get 'em ready.

"We do breed the product. Like Kentucky and Ireland, we do breed them [good horses], but 90 per cent at Karaka [sales] go abroad."

Baker said Australia understood that stakes money "makes the game run". "

"I thought their stakes were out of this world and [yet] the Australian Cup was recently increased from A$1 million to A$1.5 million. If you have got a really good horse, you have to race over there."

The New Zealand Cup, once the country's premier staying race with a stake of $250,000 in 1989, is worth $225,000 today.

Watson said help was needed from the Government which owns the TAB. Finding a way to bring back some of the money spent with overseas bookmakers was a priority, as was concentrating more resources to the main tracks and bigger meetings. There were too many racecourses for the population.

"New Zealand has competitive advantage in that it grows good grass and is a good environment for breeding horses ... [but] to have a great breeding industry, you really need to have a great racing industry, so we are missing out and it is something that we should address at a Government level."

Racing Minister Nathan Guy has indicated that a recommendation by an industry working group to implement an offshore bookmaker fee would be a priority but warned it won't be simple to create a law with the necessary extra-territorial reach required. The working group estimated that $58 million a year of gross betting profit is lost overseas.

"I'm hopeful that what changes I will be able to make will be of benefit to the industry, but they won't be a silver bullet," the minister told the industry last month.