Report shows value of pesticides to NZ's economy

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New Zealand's economy would lose up to $11.4 billion without crop protection products, according to a report from the New Zealand Institute of Economic Research.

The report also showed crops would lose 30 per cent of their value overall.

The report covers forestry, pasture, horticulture, field crops and vegetable production.

Agcarm chief executive, Mark Ross, said the report highlighted the importance of the crop protection industry to New Zealand's economy.

Agcarm is a not-for-profit trade association, representing more than 60 companies, that takes a lead role in managing issues of importance to the crop protection and animal medicines industries.

"Not only does the industry have an important part to play in supporting the economy, it is also vital for producing safe food and protecting our environment. It develops tools to manage biosecurity incursions which damage our native species and crops," Ross said.

Agcarm said in a statement crop protection products had a far-reaching impact on New Zealand's land-based sectors and that without them, many industries would face significant losses.

Horticulture, for example, would lose 75 per cent of the value of its crops and a severely reduced kiwifruit production would have been the result from the deadly 2010 PSA outbreak.

Vegetable growers face losses of around 88 per cent and in many cases it would not be possible to grow commercial quantities of crops without these products, Agcarm said.

In other cases, yields would be much lower and the economic impact would be substantial.

Agcarm said the industry was committed to the responsible use of crop protection products – from researching the best ways of managing damaging pests and diseases, through to safe use and disposal - including ensuring that any waste plastic containers were recycled and repurposed through the Agrecovery programme.

The industry focused on stewardship and ensuring there continued to be a variety of new products to offer pest control solutions for growers and farmers said Agcarm.

Agrichemicals that were more environmentally friendly, more effective and more targeted allowed farmers to better control target pests, while protecting human health and allowing beneficial flora and fauna to prosper, Agcarm said.

The New Zealand Institute of Economic Research is reported to be the largest independent think tank in New Zealand. It seeks to take a centrist, politically neutral position.

Read the report below: