Speech - Rt Hon John Key

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06 November 2010
Speech to the Federation of Maori Authorities Conference

Thank you for your welcome.

It's great to be here today and to be part of your conference.

Let me acknowledge in particular your Chair Traci Houpapa and your Chief Executive Ron Mark.

The Government values the people gathered here, the organisations and people you represent, the roles you play and the potential you have to shape the New Zealand of tomorrow.

In particular we believe that the Federation of Maori Authorities has a vital role to play in accelerating the growth of the Maori economy.

I am supportive of that mission. Your success is New Zealand's success.

Like you, the National-led Government is working hard to boost the growth of the New Zealand economy. Because a growing economy is ultimately what will provide New Zealanders and their families the jobs, security and choices that they aspire to and deserve.

It's that desire to build a brighter future which lies at the heart of the National Party's relationship agreement with the Maori Party.

We share a commitment to improving the lives and prospects of all Maori, and indeed of all New Zealanders, and our confidence and supply agreement has enabled us to work across a number of fronts to achieve that.

We have forged a strong relationship and one which I think has had a very positive impact on the work of this Government and the lives of New Zealanders.

In saying that, I recognise that while the Government can provide the environment and policy settings for success, ultimately it is you, the entrepreneurs, the innovators, the workers, who will generate wealth and growth in this economy.

We look to you for the ideas and energy that will fuel development for New Zealand and its people.

So the question for this conference is: how can you, working with Government and your wider community, support Maori to grow their asset base and the benefits that flow from that?

How can we unlock and boost the potential value in Maori-held assets?

I view the Federation of Maori Authorities (FOMA) as an excellent network for bringing together the voices, people and ideas who together can answer those questions.

We know there is a great foundation to build on. Great things have already been achieved.

In the five years from 2001 to 2006 the value of Maori owned and managed assets almost doubled to a value of at least $16 billion. As discussed at this conference the latest data points to additional significant growth in the past four years.

That growth reflects a lot of hard work and a huge contribution by Maori.

It reflects the flourishing of Maori businesses and the development of new ideas and ways of doing things.

In part, it also reflects the successful transfer of assets via the treaty settlement process to iwi.

I want to talk a little about that process today. I want to reflect on where we have come to so far, and what that means for Maori economic development.

This Government places a great deal of importance on the treaty negotiation process, and on completing fair and final settlement. Not because we believe it is the most important issue for Maori, but because like you, our goal, is to move beyond grievance, towards the brighter more prosperous future we all seek.

The settlement process is the means by which we can acknowledge historic injustice, acknowledge unfairness, and make amends for past mistakes.

It also allows for significant asset transfers to iwi, thus springboarding development opportunities.

It's that positive, forward-looking part of the settlement process that excites me.

This National-led Government, together I'm sure with many of you, has been impatient to stop looking in the rear-view mirror at grievances past and to instead shift our energies and focus towards building stronger foundations for the future.

That has been spurring us on to accelerate the settlement process.

Last year we held two national hui with iwi to discuss ways in which Treaty settlements could be achieved more efficiently and expeditiously. They were very successful and the discussions at the third hui a few weeks ago made it clear that iwi are just as committed and motivated to settling claims as the Crown.

Iwi leaders see the experience of others who settled in the late 1990s and how much they have achieved in the intervening period. They don't want to spend more time and money on litigation and negotiation; they all want to cut to the chase, achieve good settlements and move on.

The Government has been working hard to achieve that.

Minister for Treaty Negotiations Chris Finlayson has been doing a great job in this area and the joint iwi-Crown achievements since last year have been very significant.

In terms of numbers they include recognition of 14 mandates, 16 Terms of Negotiation, 12 Agreements in Principle, 10 Deeds of Settlement, and the introduction of four settlement Bills to Parliament and the passage of three settlement Acts.

Only a week ago, ministers and negotiators initialled a deed of settlement with Ngati Porou - the second-largest iwi in the country. Around one in ten Maori are of Ngati Porou descent.

These milestones represent major momentum in settling the historical claims for many groups.

As well as helping restore the honour of the Crown, these settlements will help build a further economic base for iwi in the regions. The deeds of settlement signed with Northern South Island iwi Ngati Apa and Ngati Kuia in the last fortnight will bring over $50 million into those regions, as part of a total regional settlement that will ultimately be worth around $300 million.

I understand that Ngai Tahu also sees this as an opportunity to work alongside the top of the south groups to take a ‘whole of South Island' approach to Maori development. All groups in the South Island should be commended for this, which aligns with similar models that have developed in the Central North Island around forestry, geothermal, and utilisation of marginal land through carbon farming.

I see that as more iwi settle and focus on development, the strength of a grouping like this coming together for commercial purposes will mean the Maori economy grows exponentially.

This year has seen the largest volume of milestones achieved by the Office of Treaty Settlements and claimants in a single year and it is almost twice the output of the next largest year.

Because we have accelerated the pace of settlements, there is an increasing focus on how groups can set strategies for post-settlement success, and that is something that Government Ministers have kept an open dialogue with iwi leaders on.

Because, in many ways, I believe we are at a pivotal point in terms of Maori economic development.

We are moving on from a time when iwi leadership and resources have been heavily focussed on resolving historic injustices, and we are fast moving to an era in which that energy will be increasingly devoted to development and business opportunities for the future.

Specific achievements that need mentioning include establishing an innovative process for the settlement of the historical claims of the 20 groups with standing in Tāmaki Makaurau.

The first major milestones to be achieved within that process have already been marked, including an agreed structure for the ownership and management of the volcanic cones of the region.

This year we also introduced the Marine and Coastal Area (Takutai Moana) Bill, which will repeal the Foreshore and Seabed Act and restore the right of iwi and hapu to seek customary title through the Courts.

This is important because it showed this Government's commitment to recognising property rights.

When the previous government passed the Foreshore and Seabed Act, although 40,000 mainly Maori New Zealanders marched on Parliament in protest, it's easy to forget there was considerable disquiet from business groups that the Government would pre-empt a Court process and extinguish potential property rights the way it did.

Business groups also contributed prominently to the Ministerial Review of the Act last year, reiterating their objections.

The Marine and Coastal Area Bill restores the right to seek customary title in parts of the marine and coastal area, where a group has had exclusive use and occupation of the area since 1840.

That brings with it a certain bundle of property rights for the customary title holder, including development and mineral rights similar to a fee simple title holder.

The Bill also gives customary title holders the right to commercialise those development rights, such as giving permission for activities that also require resource consents in the customary title area, and providing rights of input on marine-mammal watching permits.

In keeping with the historical nature of customary title, the rights do not include the right to exclude or charge the public for entry, or to sell the title. But the Bill restores the rights taken away in 2004.

This reflects that a government which respects property rights over politicking is not just good for business in general, but also Maori business.

My sense as I travel around the country, visiting communities, marae, schools and homes is that most New Zealanders, Maori included, want to move the conversation on.

To move on from a conversation about past injustice, to one about how to address Maori underachievement, about how to deliver world-class education standards, to ensure Maori have the skills and resources they need to succeed and how to ensure that Maori children and families have good jobs and high aspirations.

The desire to see Maori improve their lot in life, to be better equipped to succeed and to no longer be overrepresented in negative statistics associated with education, health and crime lay at the heart of why both the National and Maori Parties chose to work together even though neither party was compelled to do so.

We've been making some good progress together.

On the social side, I think the Whanau Ora initiative has been really exciting.

It's one of a number of Government initiatives to help families become more self-managing and to take responsibility for their own development and well being. It recognises the importance of the family and the things that make families special.

Fundamentally Whanau Ora is based on the idea that, with a little help, people are capable of sorting out their own lives - and putting in place the fundamental elements for long-term well being - so surely it's within our grasp as a Government to recognise that and to organise our own services around whanau and family.

I understand Minister Turia is going to speak more about Whanau Ora at this conference.

The obvious counterpoint to all of this is the need for Maori to live and work in an economic environment capable of providing them the jobs and opportunities they need.

As I said earlier, the Government has a role to play here, but ultimately it is you as the business people, the enterprises, the groups of entrepreneurs, the innovators and the kaitiaki of Maori assets, that will spur that growth on.

I'm excited about the role FOMA can play. I am aware your organisation has recently been through some changes and that you are looking to redouble your efforts.

As you look to the future, I hope you do so with three big opportunities in mind that I'd just like to touch on briefly.

The first is the importance of science, innovation and research and development.

The information I've seen estimates that of the billions of dollars of assets held by Maori, at least half are estimated to be in the primary sector. I see great opportunity for these primary sector businesses to step-up and grow, particularly through science, innovation and research and development.

It's this science and new thinking that will boost the value of the products you produce, that will increase the profitability of production process and that, ultimately, will create extra value out of the resources you already have.

The Government sees science as a key tool for tapping into New Zealand's potential. That's why we appointed Sir Peter Gluckman as my Chief Science Advisor, it's why we've increased funding for fundamental science, supported reforms to the Crown Research Institutes to make them work better with industry and why we've introduced new grants to support business innovation.

As owners and managers of some of New Zealand's most significant natural resources, iwi and Maori organisations are key end-users of this research, so you really stand to benefit from this push from Government.

I understand The Foundation for Research, Science and Technology is working directly with a number of Maori organisations to help identify these opportunities. In addition, the research commissioned by Minister Sharples' Maori Economic Taskforce is designed in part to better inform the opportunities for growing the Maori asset base through science and innovation.

I understand many of you will have been contacted as part of this research, and I do hope you are able to make good use of it.

I hope also that this conference, and the support provided by FOMA is a catalyst for Maori asset holders to think about how science and research could boost their efforts and how you can strengthen your relationships with the science sector.

The second big opportunity I see is the Rugby World Cup 2011.

It's important for Maori to make the most of New Zealand's time in the spotlight, focusing on maximising the social and economic return of the tournament.

It's a great opportunity for Maori business to showcase their products, and innovative business ideas as well as creating connections with international markets.

Which brings me to the third opportunity, which lies in making the most of New Zealand's considerable international trade relationships to maximise exports.

I think there is great potential for Maori businesses to band together to make the most of these opportunities. Networks like FOMA are very important in this regard.

As a recent example, Minister Sharples has recently returned from leading a Maori business delegation to Shanghai in order to provide a platform for Maori to increase market exposure for Maori sectors and businesses as well as to cultivate relationships.

I understand the delegation was a huge success and that business links were established with distributors and other contacts and relationships forged.

It's important to maintain the momentum generated by visits like these, and I understand delegates are considering initiatives in a number of areas including fisheries, agriculture, tourism, technology and investment.

In closing today, let me repeat that I think the future for Maori business is brighter than ever.

You and the people you represent are faced with bigger growth opportunities than ever before.

Managed well, those opportunities can be turned into jobs, increasing incomes and better livelihoods for Maori throughout the country. Indeed for all New Zealanders.

Organisations like FOMA are important vehicles for bringing your leaders and thinkers together, and conferences like this are a great way of sparking the ideas and aspirations that will lead the way.

I wish you all the best for the year ahead and I look forward to talking with you this afternoon.

Thank you.

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14 October 2010
Address to Tourism Auckland

It is a pleasure to be here today as Prime Minister and Minister of Tourism.

I'd like to acknowledge Graeme Osborne, Rodney Walshe, and the team at Tourism Auckland for inviting me here and for hosting this event.

In particular I'd like to thank Graeme for his excellent contribution to Tourism Auckland over the past ten years, and wish him well for the future.

The tourism industry presents a huge opportunity for New Zealand's economic growth and success.

That's why I decided to take responsibility for the tourism portfolio when I became Prime Minister.

We have an enormous amount going for us as a tourism destination: outstanding scenery, friendly people, delicious food and wine, and one of the world's best adventure playgrounds.

Our challenge is to make the most of every opportunity coming our way, and of course that includes the Rugby World Cup 2011.

There is simply no overstating how important the World Cup will be for Auckland and for New Zealand.

This is an unprecedented opportunity to show the world just how great New Zealand is as a tourism destination.

It's the third largest sporting event in the world, and, come September 9, 2011, all eyes will be on us.

We're expecting at least 85,000 international visitors and four billion more will be watching from home.

On Sunday I opened the new Eden Park and it looks magnificent. Eden Park will be home to some of the World Cup's biggest games, including the final.

The fact that it's ready a year before the tournament shows that we are on track and we will be ready to host the best Rugby World Cup ever.

I'll come back to the World Cup soon, but first I'd like to talk about the outlook for our tourism industry, and the recent merger of the Ministry of Tourism into the Ministry of Economic Development.

As our economy recovers from the global economic recession, it's good to see that international arrival numbers are bouncing back.

In August this year, there were 168,000 international arrivals. That's 4.3 per cent more than there were in August last year.

Even better, we're expecting a growth rate of about 3.7 per cent in the year ahead, and by 2016 there will be 27 per cent more international arrivals than there are today.

These forecasts are encouraging.

But I believe that if we use the right tools and make the most of the opportunities coming our way, we can exceed these forecasts and attract more high-spending visitors.

One important tool for the tourism industry is effective and innovative marketing, especially overseas.

The National-led Government has already put an extra $30 million into marketing New Zealand as a tourist destination overseas this year.

This included $5 million for joint venture marketing campaigns between Tourism New Zealand and Regional Tourism Organisations.

I'm pleased that Tourism Auckland took advantage of this. I hope you see good results from your $1 million investment to promote the Auckland region in Australia.

I'd like to see more collaboration between Tourism New Zealand and RTOs for marketing campaigns.

There are several examples of this type of collaboration that have worked well.

Following the devastating Canterbury earthquake, Tourism New Zealand and Canterbury Christchurch Tourism worked together to let overseas markets know that the area is still well and truly open for business.

By working together, Tourism New Zealand and the RTO were able to provide a unified message to the Australian market, and encourage visitors to keep coming.

I also believe there's room for the public and private sectors to work together more on overseas marketing and get better results.

In April Tourism New Zealand and Air New Zealand jointly ran a successful marketing promotion in Australia.

The "Big Shout" campaign offered consumers a free domestic flight in New Zealand with every trans-Tasman flight they booked.

Although led by Tourism New Zealand and Air New Zealand, there were opportunities for regions, including Auckland, to support the promotion, too.

We will always rely on New Zealanders travelling up and down the country and keeping the tourism industry going.

But international visitors provide an extra opportunity. They are often high-spending tourists and they bring new money into our economy.

So that's where the Government is continuing to focus its efforts. We know that tourism has huge potential to contribute to economic growth.

If we are to lift the tourism industry's game even further, we need to be more innovative, attract more high-spending visitors, and give them the best possible experience while they are here.

Our drive for innovation is behind the decision to merge the Ministry of Tourism into the Ministry of Economic Development.

This move ensures tourism is positioned at the heart of the Government's economic plans.

Tourism is not just an add-on. It is a significant player in growing a high-value, productive economy.

So it needs to be more closely aligned with the Government's plans to grow the economy than it has been before.

That's what the merger has enabled.

The decision follows an independent review, which found that tourism would benefit from the merger, including sharing functions such as policy, research, and monitoring.

I know that many of you here today rely on some of the Ministry's outputs - particularly research which helps you make business decisions.

Research will continue to be an important output for the new Tourism Strategy Group. The team will have a stronger focus on analysing tourism data, not just producing it, and we're confident that this will be more useful for you.

The integration will also enable better links between tourism and other related portfolio areas - such as Rugby World Cup, Regulatory Reform, or Small Business.

Overall, the merger aims to help the tourism industry in New Zealand lift its game.

We're also relying on tourism leaders up and down the country to help the industry grow and contribute to the economy.

Auckland already plays a big role.

You are our biggest city and you epitomise what the New Zealand experience is about, with the stunning Hauraki Gulf, lots of parks and beaches, and world-class dining.

70 per cent of all visitors to New Zealand spend time in the Auckland region.

The forecast growth in international arrivals for Auckland is roughly in line with the forecast for all of New Zealand, at 28 per cent by 2016.

Last year, visitors to the Auckland region spent almost $4.2 billion. In 2016, they are expected to spend $5.1 billion.

This is great news.

But I believe Auckland can go further.

One of the things we need to do to achieve this is to make sure that Auckland has the right tourism infrastructure in place - to attract visitors in the first place and to cater for them when they are here.

I'd like to talk about two specific areas today.

The first is regarding the cruise ship industry.

Cruise ship travel is very popular, especially for the high-spending visitors from overseas that we are trying to attract.

We need to make the most of the opportunities this industry provides, and have the right infrastructure in place to cater for cruise ship arrivals.

The Government recently part-funded research into the cruise industry and its economic impacts.

It shows that the cruise industry grew significantly in the 2009/10 season in New Zealand, and that the outlook for the next two seasons is good.

Between the 2009/10 season and the 2011/12 season, the number of cruises coming to New Zealand is expected to grow by 53 per cent.

It goes without saying that the economic impacts will grow, too.

And although a lot of this research is based on estimates due to gaps in our knowledge of the cruise industry, we need to make sure we can cater for this increase.

That is why the Government supports, in principle, developing a cruise terminal at Queen's Wharf.

We are working with the relevant authorities to deliver this as soon as possible.

The second infrastructure issue is building a national convention centre.

Worldwide, there is a big market for international conventions, conferences, and exhibitions.

We want to attract as many of these events as possible to New Zealand.

They are a great boost to the local tourism industry and economy.

The Government is supportive of a national convention centre being developed in Auckland, and we will make an announcement on our progress in due course.

Both a cruise ship terminal and a national convention centre would help us boost our economy.

They would create jobs in the short term while they are built but, more importantly, they offer long term benefits to the tourism industry.

This is also the case for the New Zealand Cycle Trail project.

The Government wanted to build a network of trails that would be a fun and healthy way for Kiwis and tourists to see our best scenery, but would also have lasting economic benefits.

We decided to invest $50 million over three years and make it happen.

I'm pleased to report that we have made good progress on the project so far, with funding approved for 18 trails nationwide.

The momentum of the project is going to build from here and we're aiming to have all 18 trails complete by the summer of 2012/13.

The trails will have long-lasting economic benefits and enhance our reputation as a world-class tourism destination.

Finally today, I want to talk about our biggest opportunity.

With less than a year to go, New Zealand is on track to host the best Rugby World Cup ever.

The building blocks are all in place and ticket sales are on track.

We'll have 85,000 visitors to New Zealand and billions more will be watching from home.

The World Cup will present endless opportunities for the tourism industry next September and October.

But we also need to focus on the long-term opportunities that come hand-in-hand with hosting such a major sporting event.

Currently 98 per cent of our visitors say they are likely to recommend New Zealand to others.

After the World Cup, we want people to leave New Zealand with fantastic memories and share them with their friends and family all over the world.

We only get one chance to get it right and make the most of the opportunity.

We have an excellent reputation and we want to keep it.

Negative experiences travel quickly.

So the onus is on all of us to act responsibly and make the most of the Rugby World Cup.

That means providing value for money.

Some isolated experiences indicate that some people are not having a good experience when booking accommodation.

I encourage all accommodation providers to help us maintain our excellent reputation as a tourist destination.

Industry leaders are working hard to ensure that potential visitors have the information they need about accommodation options.

The message we want to send to potential visitors is that we will have plenty of accommodation available next year, and there will be something for all budgets.

Alongside the Rugby World Cup, we'll also be hosting our biggest ever festival - the REAL New Zealand Festival - with more than 1000 events up and down the country.

It's great to see Auckland getting behind it.

The Queen's Wharf fan zone and festival will be the hub of the action.

The Waitakere Moon Festival will showcase our Chinese communities and feature everything from fashion parades to fireworks.

Style Pasifika will celebrate the best of Pacific creativity including music, entertainers, and design.

And just a stone's throw away from Auckland there'll be many more festival events - such as the Whitianga Scallop Festival in the Coromandel.

As a small trading nation, we rely on our ability to sell our exports, attract visitors, and create links with other businesses.

The Rugby World Cup is a chance for us to show off the best of our creative and innovative businesses and industries.

One of the ways we are doing this is by working with businesses and industries to build a programme of events that will showcase them during the World Cup.

We have so much to offer - from food and wine to renewable energy, from film and fashion to marine manufacturing.

Here in Auckland you'll be hosting New Zealand Fashion Week, New Zealand Cuisine and Food Industry Showcase, and the Auckland International Boat Show, among others.

The Rugby World Cup is a fantastic opportunity, and the Government is working hard to make sure it's a success.

We want the positive impact of hosting the tournament to be felt long after the stadiums are empty and the William Webb Ellis trophy is safe and sound in its new home at the NZRU.

I would like to take this opportunity to thank you for your contributions so far, and wish you well over the next year as you make preparations.

Ladies and gentlemen.

Thank you for inviting me to speak today.

The National-led Government is working hard to lift the long-term performance of the economy, create jobs, boost incomes, and provide the world-class public services Kiwis deserve.

The tourism industry has an important role to play. You have huge potential to help us grow the economy and secure a brighter future for New Zealanders.

I'm looking forward to attending the New Zealand Tourism Awards tonight and I'm sure I will see some of you there.

The theme for this year's awards is innovation. Innovation is a key driver of economic growth, so I'm looking forward to celebrating that tonight with our top tourism industry leaders.

Thank you.

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