John Key and Economic Development Minister Steven Joyce have long dismissed the Opposition inquiry into manufacturing as a political stunt. They are correct. The exercise has been a stunt. But it has also provided a much-needed platform - even a safety-valve - for the country's rising dollar-battered exporters.
Prior to being pole-axed in terms of impact by last Friday's release of the latest BNZ-BusinessNZ performance of manufacturing index which had the sector recording its highest level of activity for nearly nine years, the inquiry had been a pretty good stunt.
It had provided symbolism in presenting an alternative government-in-waiting at a time when it seems animosity between NZ First and the Greens and Labour and the Greens risks being counter-productive to all three parties.
The inquiry's report released yesterday was predictably dismissed by National. But it makes some valid points about the plight of manufacturers which transcend the left-right divide, including calling for a political consensus to halt the constant chopping and changing of assistance to industry. It warns that constant shifts in policy created uncertainty and a loss of confidence by investors and innovators, as well as exacerbating pressures for closure or relocation of manufacturing plant.
In seeking such a consensus, the report necessarily avoids being a polemic on behalf of the four parties who initiated the inquiry - Labour, the Greens, NZ First and Mana. For example, it recognises the role of foreign investment in local manufacturing - as long as that is consistent with the country's "strategic direction" export-wise (whatever that means).
