The manufactured crisis is failing

March 16th, 2013 at 12:00 pm by David Farrar

How inconvenient for Labour, Greens, NZ First and Mana who have been holding their faux inquiry into the crisis.

Stuff reports:

The manufacturing sector is expanding at its best rate for a year, as it gets get a boost from the Canterbury rebuild and wider construction work, according to a survey.

The latest BNZ-Business New Zealand Performance of Manufacturing Index was up 1.1 points  to 56.3 points in February.

A figure above 50 indicates that the sector is generally expanding and under 50 that it is going backwards.

The latest figure was the highest reading since February 2012.

BNZ senior economist Craig Ebert said the result reinforced the bank’s view that manufacturing was not “in crisis”.

 “The figures speak for themselves. The way some people are talking, we should be witnessing a very weak, to plunging, PMI. In fact, it’s improved to a more positive level,” he said.

A funny sort of crisis.

11 Responses to “The manufactured crisis is failing”

  1. Reid (21,429 comments) says:

    How inconvenient for Labour, Greens, NZ First and Mana who have been holding their faux inquiry into the manufacturing crisis.

    It’s possibly also inconvenient that no-one else knows they’re doing that, as well. Having an “inquiry.” Well I never.

    Let’s hope one of the Gweens bought their guitar along, so they can while away the hours as they talk amongst themselves…

    …in the empty room.

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  2. Fisiani (1,185 comments) says:

    Labour/Greens/NZ First/Mana making up lies. Who’d a thunk it!
    That 4 headed monster would destroy New Zealand if they ever manage to get 61 seats.
    If National only get a record breaking 48% in 2014 then the nightmare scenario is possible.
    Do you want a stable strong government or………………

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  3. Viking2 (14,373 comments) says:

    UMM, well a little thought to this without letting your political biases create stumbling blocks for you to fall over.

    The indications are that, yes manufacturing may be increasing BUT, said manufacturing appears to be as a result of a rather large earthquake that destroyed a big chunck of wealth that already existed and is now slowly being rebuilt.

    That however doesn’t create wealth for NZ unless it is exported and export manufacturing I think you will find is continuing its decline.

    You could prove me wrong by putting up a dozen or examples of export manufactueres who are growing their exports and their manufacturing capabilities. That might impress me.

    Funny how we seem to have changed from swapping houses with one another to rebuilding Christchurch as the new panacea for Kiwi’s getting rich.


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  4. Viking2 (14,373 comments) says:

    Fisani, you mean like the hopeless lot we have currently. The ones who interfere in wages and conditions, in your household proclivities and so on.

    I thought better of you.
    And yes their is little alternative but one is just as bad as the other.

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  5. SPC (8,704 comments) says:

    People looking at his need information about the export destinations and market competitors.

    Those exporting to Japan, Europe/UK and the USA are struggling and those competing against exporters from those countries are struggling.

    Those exporting to Oz against domestic competition there have been doing well in recent years. Those expanding into growing markets in Asia without much competition are doing well.

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  6. tvb (5,514 comments) says:

    The Labour Party thrive on failure and misery. So they talk down success because they are a party that wants failure so big mumma government can help you.

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  7. Fisiani (1,185 comments) says:

    Viking2 Have you been asleep for 4 years
    The National government has rescued New Zealand from the worst recession in living memory and quietly gone about building a brighter future.

    •After-tax wages up 20 per cent since 2008 – almost twice the inflation rate.
    •In 2012, our economy grew faster than at any time since 2007.
    •New Zealand currently has the lowest inflation rate since 1999 – the everyday cost of living is increasing at its slowest rate in 13 years.
    •Record low interest rates: a family with $200,000 mortgage is $200 a week better off.
    •Households’ disposable income is up by almost a third since 2008.
    •All rates of Superannuation have increased since 2008 – the married rate is up by $194, which is 22 per cent higher than April 2008.
    •65,000 net new jobs in our economy over the past 3 years.
    •Personal income tax cuts across the board have left the average family $25 better off each week.
    •Three-quarters of income earners pay no more than 17.5 per cent tax.
    •New Zealanders are saving more, with positive household savings rates for the first time in a decade.
    •Working for Families payments increased by 5 per cent on 1 April 2012, meaning higher payments for most families.
    •$400 million more for health this year, on top of $1.5 billion for health in the past four years.
    •35,000 more elective operations provided than in 2008, including almost 40,000 more operations for seniors during this time.
    •All patients ready for radiation or chemotherapy treatment receive this within four weeks – the international gold standard.
    •92 per cent of emergency patients are seen, treated, or discharged within six hours –compared with only 80 per cent in 2009.
    •93 per cent of under-two year olds fully immunised – up from just 76 per cent in 2007.
    •More frontline staff in the public health service under National – 1000 extra doctors and 2000 more nurses on the frontline.
    •1,800 doctors, nurses, and midwives signed up to work in hard-to-staff areas and specialities under National’s voluntary bonding scheme.
    •Funding for 56,000 more WellChild visits.
    •Free visits to the doctor anytime of the day or night for 90 per cent of under-sixes.
    •$54 million to boost maternity services to support new parents.
    •PlunketLine fully-funded 24 hours a day, seven days a week, to support new parents – 33,000 additional calls made by parents
    •600 more frontline police.
    •Lowest crime rate in 30 years
    •3000 fewer victims of crime in the past year
    •4000 crime victims getting better support services
    •$50 offender levy is funding 13 support services for victims
    •6000 families protected by police safety orders
    •Tougher sentences for crimes against children.
    •Less stress on victims through extended maximum intervals between parole hearings.
    •Increased search powers for Corrections officers meaning more contraband being confiscated in prison.
    •Since 2008 only 4.8 per cent of prisoners are testing positively for drugs down from 13 per cent.
    •Prison escapes and positive random drug tests are at the lowest ever levels.
    •Over $135 million in cannabis seized by Police in a major crack down on criminals and the proceeds of crime.
    •Over 3000 prisoners in on-the-job training and a 45 per cent rise in educational credits gained by prisoners.
    •Over the past 12 months, our youth justice reforms halved the number of youth needing to be held in secure units.
    •3,144 prisoners in Release to Work programmes, the most ever, helping to reduce reoffending and protect communities.
    •34 per cent increase in ECE funding since 2008.
    •National’s total investment in early childhood education and schooling is $9.6 billion for 2012/13.
    •3500 more ECE places targeted at vulnerable children who are missing out, but would benefit the most.
    •20 hours free Early Childhood Education (ECE) maintained for our youngest and most vulnerable children, and we extended this to cover Play Centres and Kōhanga Reo.
    •Over 1,000 new ECE places for vulnerable children in areas of high need.
    •$7600 paid per child enrolled in ECE – more per child than at any other level of their education.
    •On average, over 70 per cent of kids reached National Standards. Measuring progress in reading, writing, and maths, and reporting results to parents.
    •70 per cent of school leavers achieving NCEA level 2, up from 65 per cent in 2008. Our target is 85 per cent in 2017.
    •410,000 students across New Zealand with access to faster broadband by July 2013.
    •$60 million to help stop bullying in schools through a Positive Behaviour for Learning Action Plan.
    •$18.6 million spent to put nurses into decile 3 secondary schools and specially trained youth workers in selected low decile secondary schools.
    •Three new teen parent units set-up to help young mothers stay engaged in education.
    •2000 more trades training places, through 11 new Trades Acade•12,000 more tertiary places.
    •More investment in engineering, science, and research-led learning in institutions.
    •$20 million in overdue student loans collected so far.
    •97.7 per cent of schools will receive ultra-fast broadband by 2016.
    •99.9 per cent of students will be connected to ultra-fast broadband by 2016
    •Almost 13,000 fees-free youth guarantee places next year, in trades and service academies, and polytechs.
    •Four times as many adult students gaining literacy and numeracy skills.
    .5 billion to help rebuild Christchurch.
    •$1 billion of building work consented in past 6-months in greater Christchurch.
    •25,000 homes repaired by EQC so far.
    •Every Christchurch home now zoned – 181,000 zoned green.
    •Two-thirds of red-zoned property owners settled with the Crown.
    •80% of CBD demolition work completed.
    •Major – and permanent – infrastructure repair projects underway: $2.2 billion to be spent on infrastructure repair works with $73 million spent already.
    •Implemented the $200 million wage support and job loss package to assist 63,000 Cantabrians and their families.
    •$6.8 million to help earthquake-affected Canterbury businesses get back on their feet.
    •$10 million for social service agencies and c•Ensuring New Zealanders are ready with the skills needed for the long-term rebuild through the $42 million, 1500 place Skills for Canterbury programme.
    •$2 million Social Housing Unit funding to provide 25 new housing units for vulnerable people living in Christchurch.
    ounselling support for Cantabrians rebuilding their lives.
    •Over 1,100 families provided with Temporary Accommodation Assistance.
    •Built a new $20 million temporary stadium at the site of Rugby League Park in Addington, giving Cantabrians the chance to enjoy major sporting and music events again.

    Give this track record., why would anyone vote for the collection of losers who claim to be an alternative government?

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  8. Johnboy (20,828 comments) says:

    Winnie, Hone, Wussie and Woosie have always been the friends of us manufacturers!

    How can anyone possibly suggest their concern is just politicking? 🙂

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  9. Monique Watson (1,299 comments) says:

    Okay, so ask Tony Alexander, economist at BNZ.He might have a different opinion or more negative outlook on that Index. Or ask Brian Willoughby, president of the NZMEA who I suspect would echo V2.

    Some of that buoyancy may be due to sales offshore of entire businesses. That will bump up your quotient all right but not in a long term positive fashion.
    It’s important to keep track of the benefits of ICT to New Zealand. There’s a lot of businesses made in New Zealand but sold to Silicon Valley over the last eighteen months. I can count at least five based only on people I know personally. Mates actually. This isn’t necessarily a bad outcome to lose businesses offshore as long as there is capital being reinvested or back office operations, ie dev teams located in New Zealand. But how would anyone know unless the right questions are being asked?
    A lot of those brownnosing Herald expat success stories would be a lot more useful if they recounted the benefits to New Zealand.
    So this is when you know you’ve got useful stats. When you’ve got an ongoing indicator of the flow of capital and skills.

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  10. Viking2 (14,373 comments) says:

    Fisani, as oppossed to lots not done.
    Plenty of social welfare there but we still have 25% youth unemployed, we still have scum unions around causing greif.
    We still are not paying our way in the world, and that’s got to be a priority.
    We are still losing Kiwi’s to aussie at a high rate.

    We are fiddling whilst the towns burn.

    We are trying to collect 17 mil in tax from car parks whilst we pay more interest than that on money being borrowed to fund wasted Govt. expenditure.

    Even Ms Bennet has now agreed that there are just not enough jobs to go around. iu.e. our labour costs prevent employment at a fair rate.

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  11. Steady Course (3 comments) says:

    Viking2, your list is way shorter than Fisiani’s. FAIL

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