storm analysis - regional summaries€¦ · the bay of plenty’s exposure to export-dependent jobs...

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Prepared by the Economic Division in Wellington Key Points The Bay of Plenty is New Zealand’s 5th largest source of economic activity, and makes up 6% of total GDP. In 2019, $36.7 billion (30%) of New Zealand’s total goods trade was via the Port of Tauranga. The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the export sector. The proportion of gross output exported in the Bay of Plenty is 17%, which is low compared to the other 16 regions. (It is the 14th largest exporter out of the 16 regions in New Zealand). The Bay of Plenty is the 3rd largest intermediate-input importing region in New Zealand, with $11.6 billion (13%) inputs sourced internationally. Insights The Bay of Plenty is New Zealand’s 5th largest source of economic activity, contributing $14.3 billion in GDP and making up 6% of total GDP. Private services contribute the most to regional GDP (29%), followed by primary food exports (15%), construction (9%) and health (8%). In 2019, $36.7 billion (30%) of New Zealand’s total goods trade was via the Port of Tauranga, making it New Zealand’s most important port. The Port of Tauranga received $10.9 billion imports (17% of New Zealand’s imported goods) and was the point of departure for $25.8 billion exports (43% of New Zealand’s exported goods). More than half of New Zealand’s dairy, fruit and beverage exports, and about one third of meat and wood exports departed via Tauranga. The Bay of Plenty accounts for 6% of national employment. The largest employer by industry group is private services (27%), followed by primary food exports (12%), health (12%) and education (9%). A quarter of the Bay of Plenty’s employment is in the export sector (26%). The industry with the highest proportion of export- orientated jobs is primary food exports (66.6%), followed by other primary exports (59 %), and transport and warehousing (41%). In comparison to the other 16 regions in New Zealand, the Bay of Plenty has the 8th largest proportion of export- orientated jobs to labour market composition. The Bay of Plenty is marginally more reliant on good exporting jobs (26%) compared to good importing jobs (25%). We estimate that $5.3 billion (17%) of the Bay of Plenty’s regional gross output is exported. In comparison to other regions, the Bay of Plenty produces 6% of New Zealand’s total exports and is the 14th largest exporting region. It sits above Auckland, but below Northland. China, the EU and Australia are the three largest export destinations for the Bay of Plenty, and receive over half of the region’s exports (68%). The EU, Australia, China, the USA and the UAE are the five largest sources of intermediate inputs for the Bay of Plenty. Together they account for 76.5% of the Bay of Plenty’s imported intermediate consumption. The Bay of Plenty imports $11.6 billion intermediate inputs (13%). In comparison to other regions, the Bay of Plenty is the 3rd largest intermediate input importer. The largest intermediate input importing industry is primary food exports (21%), followed by private services (19%), manufacturing (14%) and other primary exports (11%). Regional Summaries: The Bay of Plenty 28 September 2020 Research Report

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Page 1: STORM Analysis - Regional Summaries€¦ · The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the export sector. The

Prepared by the Economic Division in Wellington

Key Points

The Bay of Plenty is New Zealand’s 5th largest source of economic activity, and makes up 6% of total GDP.

In 2019, $36.7 billion (30%) of New Zealand’s total goods trade was via the Port of Tauranga.

The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the

export sector.

The proportion of gross output exported in the Bay of Plenty is 17%, which is low compared to the other 16

regions. (It is the 14th largest exporter out of the 16 regions in New Zealand).

The Bay of Plenty is the 3rd largest intermediate-input importing region in New Zealand, with $11.6 billion (13%)

inputs sourced internationally.

Insights

The Bay of Plenty is New Zealand’s 5th largest source of economic activity, contributing $14.3 billion in GDP and making up

6% of total GDP. Private services contribute the most to regional GDP (29%), followed by primary food exports (15%),

construction (9%) and health (8%).

In 2019, $36.7 billion (30%) of New Zealand’s total goods trade was via the Port of Tauranga, making it New Zealand’s most

important port. The Port of Tauranga received $10.9 billion imports (17% of New Zealand’s imported goods) and was the

point of departure for $25.8 billion exports (43% of New Zealand’s exported goods). More than half of New Zealand’s dairy,

fruit and beverage exports, and about one third of meat and wood exports departed via Tauranga.

The Bay of Plenty accounts for 6% of national employment. The largest employer by industry group is private services (27%),

followed by primary food exports (12%), health (12%) and education (9%).

A quarter of the Bay of Plenty’s employment is in the export sector (26%). The industry with the highest proportion of export-

orientated jobs is primary food exports (66.6%), followed by other primary exports (59 %), and transport and warehousing

(41%). In comparison to the other 16 regions in New Zealand, the Bay of Plenty has the 8th largest proportion of export-

orientated jobs to labour market composition. The Bay of Plenty is marginally more reliant on good exporting jobs (26%)

compared to good importing jobs (25%).

We estimate that $5.3 billion (17%) of the Bay of Plenty’s regional gross output is exported. In comparison to other regions,

the Bay of Plenty produces 6% of New Zealand’s total exports and is the 14th largest exporting region. It sits above Auckland,

but below Northland.

China, the EU and Australia are the three largest export destinations for the Bay of Plenty, and receive over half of the region’s

exports (68%). The EU, Australia, China, the USA and the UAE are the five largest sources of intermediate inputs for the Bay

of Plenty. Together they account for 76.5% of the Bay of Plenty’s imported intermediate consumption.

The Bay of Plenty imports $11.6 billion intermediate inputs (13%). In comparison to other regions, the Bay of Plenty is the

3rd largest intermediate input importer. The largest intermediate input importing industry is primary food exports (21%),

followed by private services (19%), manufacturing (14%) and other primary exports (11%).

Regional Summaries: The Bay of Plenty 28 September

2020 Research Report

Page 2: STORM Analysis - Regional Summaries€¦ · The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the export sector. The

Gross Output by Industry

Intermediate Consumption by Industry

Intermediate Import by Country

Export Markets

Filled Jobs and Export Jobs by Industry

Filled Jobs and Import by Industry

Source: Sense Partners, Stats NZ Note: There is no official trade data by region. In this note we use a novel data set created by Sense Partners for MFAT to link regional gross domestic product by industry to exports. These are our best estimates of exports from the region. Due to data limitations the estimates refer to the year to June 2018. For a non-technical summary of the methodology see MFAT Analytical Report Industry Exposure to Trade.

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Filled Jobs

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Page 3: STORM Analysis - Regional Summaries€¦ · The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the export sector. The

ANNEX: INDUSTRY AGGREGATIONS

Category Industry Grouping Industry

Key Exporters

Primary Exports - Food

AA11. Horticulture and fruit growing

AA12. Sheep, beef cattle, and grain farming

AA13. Dairy cattle farming

AA14. Poultry, deer, and other livestock farming

AA31. Fishing and aquaculture

AA32. Agriculture, forestry, and fishing support services and hunting

CC11. Meat and meat product manufacturing

CC12. Seafood processing

CC13. Dairy product manufacturing

CC14. Fruit, oil, cereal, and other food product manufacturing

CC15. Beverage and tobacco product manufacturing

Primary Exports - Other

AA21. Forestry and logging

BB11. Mining

CC31. Wood product manufacturing

CC32. Pulp, paper, and converted paper product manufacturing

Essential Services

Health QQ11. Health care and social assistance

Essential Retail and Wholesale

FF11. Wholesale trade

GH11. Motor-vehicle and motor-vehicle parts and fuel retailing

GH12. Supermarket, grocery stores, and specialised food retailing

Transport and Warehousing

II11. Road transport

II12. Rail, water, air, and other transport

II13. Postal, courier, transport support, and warehousing services

Utilities DD11. Electricity and gas supply

DD12. Water, sewerage, drainage, and waste services

JJ11. Information media services

JJ12. Telecommunications, internet, and library services

Recovery Phase

Non-Primary Manufacturing

CC21. Textile, leather, clothing, and footwear manufacturing

CC41. Printing

CC51. Petroleum and coal product manufacturing

CC52. Basic chemical and chemical product manufacturing

CC53. Polymer product and rubber product manufacturing

CC61. Non-metallic mineral product manufacturing

CC71. Primary metal and metal product manufacturing

CC72. Fabricated metal product manufacturing

CC81. Transport equipment manufacturing

CC82. Machinery and other equipment manufacturing

CC91. Furniture and other manufacturing

Construction EE11. Building construction

EE12. Heavy and civil engineering construction

EE13. Construction services

Education PP11. Education and training

Other Retail GH13. Other store-based retailing and non-store retailing

Services - Private GH21. Accommodation and food services

KK11. Finance

KK12. Insurance and superannuation funds

KK13. Auxiliary finance and insurance services

LL11. Rental and hiring services (except real estate)

LL12. Property operators and real estate services

MN11. Professional, scientific, and technical services

MN21. Administrative and support services

RS11. Arts and recreation services

RS21. Other services

Services - Public OO11. Local government administration

OO21. Central government administration, defence, and public safety

Note: The aggregation of industries into Industry Groupings is solely for analytical purposes.

Page 4: STORM Analysis - Regional Summaries€¦ · The Bay of Plenty’s exposure to export-dependent jobs is high, with a quarter of the region’s employment in the export sector. The

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Disclaimer

This information released in this report aligns with the provisions of the Official Information Act 1982. The opinions and analysis expressed in this report are the author’s own and do not necessarily reflect the views or official policy position of the New Zealand Government. The Ministry of Foreign Affairs and Trade and the New Zealand Government take no responsibility for the accuracy of this report.