Economic development and growth is one of the principal drivers of regional government to create an environment that our industry can flourish in.
In Heretaunga that is primarily horticulture and this sector is experiencing an economic renaissance. This is mostly due to a rise in commodities prices for the crops that our region is involved in, especially apples, kiwifruit and wine. We seem to be in a prolonged and sustainable growth period. There is an ever increasing demand in the market for our product with the focus now being on Asia not Europe. Apple planting is unprecedented and this is intensified by new technology that has exponentially increased production per hectare.
This is a perfect storm, when excellent growing conditions, great production and a strong market align, that doesn't often come to our growers and our region is revelling in it. Farmers and horticulturists are reinvesting back in to their businesses. They are buying more land, planting new orchards and investing into off-orchard facilities and this is just the beginning. Huge amounts of capital are being, and will continue to be, invested in packing sheds and coolstores as well as axillary cluster industries such as transport, orchard machinery, windmills, picking ladders, etc. But they will only do this if they can manage the seasonal harvest peaks that occur in this industry and this challenge will exacerbate as new plantings come in to production. They need the RSE (Recognised Seasonal Employee) programme to do this.
This is the programme that brings in seasonal workers from the Pacific, Melanesia and Asia. The RSE programme is of course very beneficial for these foreign workers, their families and their communities because most of these people are very poor and come from small villages where there is no work.
The growers need the RSEs to manage the seasonal peaks to build this industry and build our economy and most importantly to build fulltime jobs. The expansion of these industries with the support of offshore casual labour will create more permanent jobs but we need to make sure that whenever possible these permanent jobs go to locals not to other imports.