Welcome mat still not a red carpet

Between the lines
By Yok Har Lee

Promotional material aimed at foreign investors was launched last week by the Trade Development Board.

It is to Trade New Zealand's credit that the material is of a high quality. But it is no secret by now that glossy promotional materials won't bring foreign investors here. Nor will mega-events such as Apec or the America's Cup.

Trade NZ chief executive Fran Wilde has the right attitude, however - she is prepared to let her organisation be measured by its deeds. So we will wait to see how well it does in attracting investment, as well as promoting exports.

Working on a new formula, Trade NZ is now selectively targeting foreign investors in an effort to make them choose this country as a location for business.

New Zealand is obviously not prepared to compete with the likes of Singapore, Ireland or even Israel in providing incentives for foreign companies. Whether we should remains a philosophical debate. Time will tell if we win or lose by being puritanical about such matters.

New Zealand is far from alone in our desire to enter the brave new world of knowledge-based industries. However, we don't have deep enough pockets to chase these industries and the country is short on the creativity and political courage to sustain an orchestrated effort.

Within a few months, Motorola will decide whether to set up a third software centre in Australasia. New Zealand could be its choice.

There is opportunity for us to bend over backwards to say to Motorola, "What can we do to make you set up here?"

When Motorola's representatives revisit New Zealand, they should not be the ones knocking on our doors. We should be knocking on theirs.

Our ministers should be convincing Motorola that the Government will remove hurdles if it locates its research centre here. If we can't provide the necessary software skills, our Immigration Minister should be able to provide speedy approvals for Motorola to hire from around the world.

Singapore's Economic Development Board has a manpower programme to recruit international talent when there is a skill gap. Where do we stand in comparison?

Ten years after Fisher and Pakyel set up manufacturing in Queensland, the state's investment promotion officials are still knocking on Gary Paykel's door. New Zealand has yet to show that kind of tenacity in chasing investors.

A synchronised approach has so far been absent from New Zealand's attempts to gain and retain foreign investment.

If we don't start to practise a coordinated approach, we won't stand much chance in a world dominated by fierce competition for foreign investment.