Diversification through innovation is key to Business Growth   6 Oct 2015

New Zealand Government

Hon Steven Joyce

Minister of Science and Innovation


6 October 2015

Diversification through innovation is key to Business Growth Agenda

Using innovation and digital transformation to drive diversification of New Zealand’s economy is a major theme for the update of the Building Innovation chapter of the Business Growth Agenda.

Science and Innovation Minister Steven Joyce today outlined the Government’s strategy for developing New Zealand into a hub for high-value and knowledge-intensive businesses that are conducting more research and development (R&D) to lift innovation.

“Increasing innovation through R&D will drive better firm performance and productivity growth, and ultimately lead to a wealthier and healthier community,” says Mr Joyce.

“Over the next year Government will actively enable businesses to increase their investment in innovation by providing firms with access to R&D grants, technical knowledge and product development and commercialisation expertise.

“We will strengthen New Zealand’s innovation infrastructure by investing in broadband connectivity and regional research institutes and supporting the development of innovation hubs and precincts.

“The Government has today announced an ambitious new target of peak broadband speeds of at least 50 Mbps by 2025, with 99 per cent of New Zealanders able to access broadband at that speed, and the remaining 1 per cent able to access to 10 Mbps - up from dial up or non-existent speeds.

“Innovation is one of the key ways in which we can diversify our economy. New products and services enable innovations to occur and open up a broader range of market opportunities, enabling our businesses to be more resilient to economic shocks over the long term.

“Our ICT and digital sector in particular is embracing this concept and is growing at pace. The sector produces twice as many innovations that are new to the world than the New Zealand average.

“It is also one of our most R&D intensive sectors, with 37 per cent of computer system design firms investing in R&D compared with a New Zealand average of just 8 per cent.”

Encouraging business innovation is one of the seven priorities in the BGA Building Innovation update. The seven priority areas are:

• Encourage business innovation;

• Attract multi-national R&D investment in New Zealand;

• Strengthen New Zealand’s innovation infrastructure;

• Make the most of the digital economy;

• Proactively review market regulations;

• Increase the impact and relevance of publicly funded scientific research; and

• Grow the availability of innovation skills in New Zealand.

The BGA 2015/16 Building Innovation update contains a total of 34 new projects that government agencies will work on over the next year alongside 28 current projects. A total of 33 projects have now been completed in the innovation stream since the BGA began in 2012.

“The Government remains committed to its goal of encouraging New Zealand’s business sector to double its expenditure on R&D to 1 per cent of GDP,” Mr Joyce says. “R&D performed by New Zealand businesses has been growing steadily and grew by 6.4 per cent a year from 2010 to 2014. However, this growth is occurring from a low base and we have not yet closed the gap with other advanced economies.

“Successful innovation improves competiveness, increases our output, drives productivity growth, and creates successful exports by introducing new or improved products, processes, or methods into the economy. Our aim is to create the conditions that allow businesses to be ambitious and innovative,” says Mr Joyce.

The BGA Building Innovation update can be found here http://www.mbie.govt.nz/info-services/business/business-growth-agenda/towards-2025


ends

Add a comment

News

Hilary Timmins' Award-Winning UK Documentary Series To Inspire NZ Students

29 Jun 2020 Education
Dream Catchers, produced and directed by Hilary Timmins, celebrates the success stories of more than thirty inspirational New... more

New Zealand reaffirms support for Flight MH17 judicial process

7 Mar 2020 News By Rt HON WINSTON PETERS
Ahead of the start of the criminal trial in the Netherlands on 9 March, Foreign Minister Winston Peters has reaffirmed the need to... more

Business

NZ Government's Economic package to fight COVID-19

17 Mar 2020 Business News By RT HON JACINDA ARDERN
The Coalition Government has launched the most significant peace-time economic plan in modern New Zealand history to cushion the... more

NZ Government announces aviation relief package

19 Mar 2020 Business News By Hon Phil Twyford
Transport Minister Phil Twyford today outlined the first tranche of the $600 million aviation sector relief package announced earlier... more

Living

Diversity was Key at New Zealand Trade Tasting in London

6 Jun 2022 Food & Wine
New Zealand Winegrowers Annual Trade Tasting was recently held in London, on Wednesday 4 May, in Lindley Hall. It was the first... more

Kiwi author stuns Behind the Butterfly Gate

12 Jan 2022 Arts By Charlotte Everett
Hidden behind the Butterfly Gate is where the secret has been kept for 76 years...  New Zealand writer Merryn Corcoran’s... more

Property

Fairer rules for tenants and landlords

17 Nov 2019 Property By Minister Kris Faafoi
17 NOVEMBER 2019 The Government has delivered on its promise to the over one million New Zealanders who now rent to make it fairer... more

New Zealand Government will not implement a Capital Gains Tax

17 Apr 2019 Property By RT HON JACINDA ARDERN
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more

Migration

Boosting border security with electronic travel authority – now over 500,000 issued

19 Nov 2019 Migration By Hon Iain Lees-Galloway
19 NOVEMBER 2019 We’ve improved border security with the NZeTA, New Zealand Electronic Travel Authority, which helps us to... more

Christchurch reinstated as refugee settlement location

18 Aug 2018 Migration
18 AUGUST 2018 HON IAIN LEES-GALLOWAY The announcement that Christchurch can once again be a settlement location for refugees... more

Travel

Gallipoli Anzac Day services cancelled

19 Mar 2020 Travel & Tourism By RT HON JACINDA ARDERN
The New Zealand and Australian Governments have announced this year’s joint Anzac Day services at Gallipoli will be cancelled... more

New Zealanders advised not to travel overseas

19 Mar 2020 Travel & Tourism
New Zealanders advised not to travel overseas more

Sport

The Skipper's Diary: Sir Richard Hadlee honouring his father and NZ's Forty-Niners

27 Oct 2019 Cricket By Charlotte Everett
NZNewsUK London Editor Charlotte Everett spoke to Sir Richard Hadlee about why he’s chosen to publish his father’s... more

PREVIEW: All Blacks v England semi-final

26 Oct 2019 Rugby
The two most convincing quarterfinals winners are set to square off in a semifinal showdown for the ages when the All Blacks meet old... more

Columns

Gordon Campbell on the Gareth Morgan crusade

11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade First published on Werewolf The ghastly likes of Marine Le Pen in France and Geert ... more

Gordon Campbell on the US election outcome

10 Nov 2016 Opinion
Column - Gordon Campbell   Gordon Campbell on the US election outcome Well um.. on the bright side, there (probably)... more

Kiwi Success

Congratulations to Loder Cup winner

26 Sep 2018 People By Hon Eugenie Sage
25 SEPTEMBER 2018 The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more

Appointments to New Zealand National Commission for UNESCO

16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO HON JENNY SALESA Associate Education Minister Jenny Salesa is... more

Recruitment

Historic pay equity settlement for education support workers

14 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more

Historic pay equity settlement for education support workers

22 Aug 2018 Recruitment By RT HON JACINDA ARDERN
14 AUGUST 2018Historic pay equity settlement for education support workers RT HON JACINDA ARDERN HON CHRIS HIPKINS Prime Minister The... more