AGP Executive Report

Manufacturing: New Zealand’s manufacturing sector continued to grow in September, with BusinessNZ reporting an acceleration. Trade and Exports: National has pledged to double exports by 2034, while the India–New Zealand free-trade agreement is set to take effect on 20 October. Energy Investment: Christchurch Airport has opened the South Island’s largest solar farm, and Mercury’s Puke Kapo Hau project is set to become the country’s largest wind farm; the Government has also shortlisted a provider for an LNG import terminal. Biotechnology: UK-based Mycofeast has acquired Auckland precision-fermentation company Daisy Lab, which is scaling production of dairy-identical lactoferrin. Supply Chains: Maritime union members plan to strike next Wednesday, raising the prospect of disruption at ports nationwide.

Export Growth: National says food and fibre exports have reached a record $65.2 billion, $4 billion ahead of schedule toward doubling exports by 2034. Its plan includes 19 new standards to reduce farm red tape. Aluminium Industry: NZ First says it would reverse the decision not to safeguard imported aluminium extrusions, warning that local fabricators and the country’s nine extrusion pressers are at risk. Manufacturing: BusinessNZ reports the sector accelerated in September. Digital Payments: The Commerce Commission estimates businesses could save about $180 million a year by switching debit transactions to open banking. Westpac says its new tool has cut personal-loan application times by about 25% for an initial group of applicants. Retail Pressures: Electronic card spending fell 0.5% in September, with core retail down 0.7% from August; retailers also face rising fuel and power costs. Clean Energy: United Rentals is expanding its New Zealand range of solar and battery-powered worksite equipment, saying its solar Site Hub can cut emissions by more than 95% and save up to $25,000 a year.

Trade & Horticulture: The India–New Zealand free trade agreement takes effect on October 20, cutting tariffs for exporters. New Zealand’s apple sector is also setting up a centre in India to help growers lift production, under the agreement’s cooperation programme. Clean Energy: Lodestone Energy has secured the minimum capital for its NZX listing, while Anza Power signed a 110MW solar power deal with Fonterra. The Government has shortlisted a provider for its planned LNG import terminal. Biotech: Auckland precision-fermentation startup Daisy Lab has been acquired by international industrial biotech firm Mycofeast, taking its dairy-identical protein technology into a larger global group. Jobs & Infrastructure: SEEK reports New Zealand job ads rose nearly 8% year-on-year in September, but a separate industry survey says half of infrastructure firms have lost workers overseas in the past year amid uncertainty over investment. Space Industry: Rocket Lab shares fell after a fuel-tank defect delayed the Neutron rocket’s launch until next year.

Financial Services: A Christchurch lender serving the Filipino community was fined $15,000 for unregistered consumer lending, while its director and senior manager received community-work sentences. Records showed some borrowers faced annual interest rates of up to 55.61%. Emergency Services: A new voice-console system for Fire and Emergency New Zealand and Police has been shortlisted for an international industry award; Hato Hone St John and Wellington Free Ambulance are due to adopt it next year. Capital Markets: Solar company Lodestone Energy secured firm commitments for its IPO, clearing the $75 million minimum. It plans to list on the NZX on October 22, in the first significant public offering in about five years. Infrastructure: A sector survey found 48% of firms lost staff overseas in the past year, while 91% said election uncertainty was clouding investment decisions. Energy: The Government has selected a preferred LNG supplier, drawing criticism from the Smart Energy Alliance over the lack of public information on costs, safety and alternatives. Agriculture and Exports: Zespri’s final charter ship of the season left Tauranga carrying 6,120 tonnes of kiwifruit to China, as the industry wraps up a record crop of about 810,000 tonnes.

Telecommunications Manufacturing: Tait Communications has opened a multi-million-dollar Christchurch testing lab, with a specialist chamber offering capabilities not available elsewhere in New Zealand. Energy: Monumental Energy plans to take a stake in the onshore Maata oil field in Taranaki, near existing production facilities; meanwhile, the Government has extended its strategic diesel reserve to August 2027. Maritime Technology: Ocius has opened an Auckland maintenance base for the Navy’s Bluebottle uncrewed vessels and is recruiting engineering staff. Construction: Fletcher Building reported higher first-quarter volumes, though residential work lagged. National construction activity rose 2.7% in the June quarter, and new-home consents were up 21% in the year to August. Mining: Resources Minister Shane Jones says the Government may refine fast-track rules, arguing the process is holding up projects.

Fuel Security: The Government has extended its 550,000-barrel strategic diesel reserve at Marsden Point until August 2027, citing diesel’s importance to farms, freight and other essential services. Business Conditions: Company distress remains high: 1,072 winding-up applications were filed by the end of September, the most for that period in a decade, and insolvency appointments are on track for their highest annual total since the global financial crisis. Food Innovation: The planned closure of Palmerston North’s FoodHQ research hub has drawn concern that New Zealand could lose capacity to develop food products and technology, including emerging proteins and aquaculture. Primary Sector: Tora Collective’s sustainably harvested, caught-to-order wild crayfish won gold in the New Zealand Food Awards’ Primary Sector category; judges also praised its use of producer-harvested seaweed packaging. Water Services: Watercare apologised after a billing error prematurely deducted more than $6 million from nearly 44,000 customer accounts.

Markets: The NZX 50 fell 0.6% as weakness spread across Asia. PGG Wrightson rose after lifting its earnings outlook, while SkyCity advanced after securing the right to apply for an online casino licence. Maritime Technology: Australian firm Ocius has opened a New Zealand facility to maintain the Navy’s Bluebottle surveillance vessels, supporting local technical jobs and fleet availability. Transport and Activity: Heavy vehicle traffic rose 2.2% in September, a sign freight activity rebounded after a weak August; light traffic also increased but remained below year-earlier levels. Telecommunications: Australia’s GenusPlus is set to acquire New Zealand contractor UCG, which works on Chorus’s fibre network, in a deal expected to add to earnings. Agriculture and Exports: New Zealand food and fibre exports have reached a record $65.2 billion, while dairy and meat prices are lifting rural confidence. Energy: ASB says energy costs are now the second-biggest concern for New Zealand businesses, with one in three firms raising prices.

Economic Development: The Greens’ proposed $5.9 billion plan aims to add 64,000 jobs over four years, including through higher research funding, clean-energy investment and support to commercialise Kiwi innovation. Aluminium Industry: A ministerial decision not to safeguard imported extrusions drew a sharp response from an industry group, which says imports have risen 34% this year and local processors and jobs are at risk. Aged Care: Heritage Lifecare is expanding its national network with the purchase of New Zealand Aged Care Services, adding 15 care homes, eight villages and 926 beds. Agriculture: Rural confidence is recovering as milk and meat prices strengthen, while food and fibre exports have reached a record $65.2 billion. Clean Energy: A Christchurch company has developed a new solar battery and installed one for a major Australian customer, showcasing local technology with export potential. Business Costs: Energy costs remain a major concern for New Zealand firms, with an ASB survey finding they are the second-biggest worry and a third of businesses have lifted prices.

Trade and Energy: China says it is ready to deepen services trade with New Zealand and expand cooperation in electric vehicles, solar and wind power. Markets: The NZX 50 rose 0.6% as falling oil prices and bond yields lifted major shares, including Fisher & Paykel Healthcare and Infratil. Air Freight: Texel Air has added a Boeing 737 freighter in New Zealand, citing demand for capacity and more flexible links between freight hubs and regional destinations. Wine: Treasury Wine Estates is selling Rosemount, Ingoldby and Secret Stone to the Oatley family as it narrows its portfolio; Rosemount returns to the family that founded it. Farm Sector: Food and fibre exports have reached a record $65.2 billion, while a separate report says half of New Zealand farms have lost mobile coverage across most of their land since the 3G shutdown. Fuel Costs: Petrol has hit record highs, adding pressure for businesses and households as crude producers and refineries benefit from elevated prices.

Fuel Costs: 91 petrol has averaged $3.60 a litre, with crude producers and refiners benefiting most from the price surge; higher fuel costs are adding pressure for businesses and households. Workplace Safety: A roofing company was sentenced after a worker fell seven metres through a fragile roof panel, with WorkSafe citing failures in risk assessment, training and supervision. Agriculture: Pāmu’s first Foundation Scholarship will support a Taranaki student aiming for a career in animal science. New Zealand and Mongolia also discussed cooperation in sheep farming, meat exports and renewable energy. Exports and Logistics: Food and fibre exports have reached a record $65.2 billion, while a new intermodal freight hub at the Port of Tauranga adds capacity to the supply chain. Farm Resilience: National has pledged fertiliser security deals and $300 million in water-storage loans, while new reporting suggests half of farms have lost mobile coverage across most of their land since the 3G shutdown. Manufacturing and Innovation: Plans to turn waste wood into biochemicals and biofuels are gaining attention, even as Lawter prepares to close its Mount Maunganui manufacturing plant.

Freight & Logistics: 3 Islands Intermodal has opened a major freight hub at the Port of Tauranga, strengthening capacity at a key export gateway. Jobs & Skills: NZIER says youth unemployment has reached a crisis level, with young jobseekers shut out as AI looms over the recovery. Primary Industries: National is proposing fertiliser security deals and $300 million in water-storage loans. Federated Farmers says the water scheme should go further; meanwhile, Tatua has reported a record shareholder payout as primary industries lag in adopting AI. Energy & Transport: Petrol prices have topped $3.50 a litre, alongside a reported 206% surge in EV registrations. Construction: Work has begun on the country’s highest road bridge at Waikare Gorge, as building costs rise sharply.

Youth Employment: NZIER says unemployment has reached 25.3% for 15- to 19-year-olds and 12% for 20- to 24-year-olds, warning that an economic recovery may not be enough as AI adds uncertainty to job prospects. Freight and Logistics: 3 Islands Intermodal has opened a new hub at the Port of Tauranga, bringing staff together to strengthen its regional freight base. Texel Air has added a converted Boeing freighter to its New Zealand operation, with another due in January; its Auckland- and Christchurch-based aircraft carry cargo for NZ Post and Freightways, as well as fresh produce and e-commerce goods. Agriculture and Water: National is proposing fertiliser security deals and $300 million in loans for water storage, while Federated Farmers says the scheme should go further. Exports and Business Costs: New Zealand’s food and fibre exports have reached a record high, but a business survey identifies energy costs as a major concern.

Farm Security: National has proposed negotiating fertiliser supply agreements and offering $300 million in low-cost water-storage loans if elected, alongside a $10 million fund to support domestic nitrogen production. Business Costs: Energy has become New Zealand firms’ second-biggest concern, an ASB survey found, with a third raising prices to manage the pressure. Food and Fibre: Exports reached a record $65.2 billion, while Tatua reported a record payout to shareholders. Zespri is also weighing changes to its China supply model as Chinese-grown kiwifruit competes with New Zealand fruit. Wine: New Zealand wine exports rose 6%, adding momentum for the sector. Vehicle Market: Petrol’s rise to $3.35 a litre coincided with a 206% year-on-year surge in EV registrations in the third quarter.

Business Costs: Energy is now the second-biggest concern for New Zealand businesses, an ASB survey found, with a third reporting price increases. Food and Fibre: Exports reached a record $65.2 billion, while sheep and beef farmers face strong meat prices but continued pressure on wool. Farm Infrastructure: National is promising $300 million in low-cost loans for water-storage projects if re-elected. Federated Farmers welcomed the plan but says government seed funding is also needed to get construction under way. Fisheries: National proposes a new Waiheke marine reserve, an expanded Goat Island reserve and a review of bottom trawling, alongside a $20 million fund for fishing technology. Power Resilience: Mahurangi residents are seeking alternatives to diesel backup as outages disrupt homes, water and sewerage; Vector says $13 million of resilience investment is under way. Electrical Safety: MBIE has restored a ban on certain changes to mains earthing systems after inspectors warned of potentially lethal risks.

Agriculture and Exports: New Zealand’s food and fibre exports reached a record $65.2 billion, while wine exports rose 6%. National has pledged $300 million in low-cost loans for farm water storage if elected. Energy Costs: More than two-thirds of businesses say energy costs are a concern, and nearly one-third have raised prices in response, an ASB survey found. One in five reported cutting production or hours. Infrastructure and Construction: A proposed $500 million dry dock has backing from residents but faces calls to move it away from homes; residential building costs also climbed sharply in the third quarter. Industry: Lawter plans to close its Mount Maunganui manufacturing plant, with Whareroa Marae welcoming the change. Renewables: Lodestone Energy is adding business customers to its solar portfolio, while a new solar and battery project for Masterton has secured a long-term partnership.

Financial Regulation: The FMA cancelled Sydney-based auditor Scott Bennison’s New Zealand licence, citing failures to meet conditions while reviewing Greenfern Industries’ 2024 accounts. Wine and Food Exports: Wine export volumes rose 8% to 306.2 million litres, earning NZ$2.108 billion, even as the 2026 grape harvest fell 15%. Food and fibre exports hit a record NZ$65.2 billion, up 8% in the year to June. Farm Investment: National says it would negotiate fertiliser supply agreements and offer $300 million in concessional loans for water storage if re-elected. Industrial Energy: Lodestone Energy signed electricity supply deals with Briscoe Group and Farro, adding to demand for renewable power and more predictable costs. Maritime Infrastructure: Residents support a proposed $500 million Northland dry dock but want it moved farther from homes; the project is being fast-tracked and has $100 million set aside from the Regional Infrastructure Fund. Manufacturing and Skills: Lawter plans to close its Mount Maunganui manufacturing plant, while Massey University will add 15 domestic veterinary places a year from 2027, backed by a $6 million government grant.