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Home / Hawkes Bay Today

Bright outlook for our region

By Anneke Smith
Hawkes Bay Today·
25 Nov, 2016 09:26 PM2 mins to read

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Businesses and households in Hawke's Bay are set to thrive over the coming months, according to a Westpac report released this week.

The Westpac Quarterly Economic Overview shows strong measures of business and househould confidence for the Hawke's Bay and Gisborne regions.

Business Hawke's Bay chief executive officer Susan White said the report reflected the ongoing growth of businesses in the region.

"There's a high degree of confidence in investment and market opportunity, which has fundamentally created a healthy and buoyant economy," she said.

Ms White said pip fruit, wine and tourism were among some of the industries doing well, with many local businesses experiencing a "major growth mode".

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Hawke's Bay Chamber of Commerce chief executive officer Wayne Walford said there were more than 1 million new apple trees planted this year alone; estimating 1.5 million will be planted next year.

The report showed the horticulture industry was "booming", with forestry prices nearing record highs and beef exports doing well on overseas markets.

Mr Walford said domestic and international interest in the region had "snowballed" business growth in the area.

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"Once a positive narrative starts in a region, then good things follow. It's like a snowball really, it's getting bigger and bigger all the time," he said.

Tourism also remained a growing industry in the region, with guest nights reaching 374,000 in the quarter, some of which could be a result of two major airlines flying in to the region.

Housing prices were also another key aspect of the report; both the Gisborne and Hawke's Bay regions seeing price growth "accelerate strongly" over the last year.

According to the Westpac report, Napier and Hastings sit at 18 per cent growth while Central Hawke's Bay, Gisborne and Wairoa sit at 10 to 11 per cent.

Tukituki MP Craig Foss said Hawke's Bay production showed that things were lining up for another "legendary Hawke's Bay summer".

"What's different this year is that produce prices and volume are skyrocketing which mean there is more money moving around in Hawke's Bay," he said.

With weather permitting, the east coast has a "rosy outlook" for the primary sector for the next year.

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