Hawke's Bay's economy has grown almost 20 per cent over the past five years.
Hawke's Bay's economy has grown almost 20 per cent over the past five years.
Hawke's Bay's economy has shone, growing almost 20 per cent over the past five years to contribute $6.6 billion to the nation's Gross Domestic Product.
New information from Statistics New Zealand revealed the region's economy has increased by 19 per cent since 2010. In those five years, the region's GDPhas increased by $3 billion, a spike that was driven by both the manufacturing and agriculture industries.
For the 2014-15 financial year to March, the manufacturing, transport, postal and warehousing industries all contributed to the year's 2.8 per cent increase in the Hawke's Bay GDP.
Although Statistics NZ did not mention the agriculture sector as contributing to the 2014-15 increase, an Infometrics report shows that it did add to the growth in this period.
Titled Annual Economic Profile - Hawke's Bay Region, the report stated the broad industries of agriculture, forestry, and fishing made the largest contribution to overall growth in the region between 2014 and 2015, growing by 3.5 per cent over the financial year.
Federated Farmers Hawke's Bay president Will Foley said he thought the agricultural contribution to the GDP could be less for the 2014-15 financial year because other exports were increasing at a faster pace.
"It isn't unexpected with the downturn in dairy and lamb prices," he said.
"Hopefully it will bottom out of those cycles and we will see only upward movement."
Mr Foley said the industry was seeing an increasing equity with farming intensifying.
"The activity that you see on the road and rail going to the port, it seems to be increasing all the time," he said.
"Because of this increasing activity and, if we do see an uplift in price, agriculture should see a good increase in contribution to the GDP."
Hawke's Bay was one of the 11 regions in the country which grew in the 2014-15 financial year, with its GDP accounting for 2.7 per cent of New Zealand's overall GDP.
Economic Development Minister Steven Joyce said regional economies across New Zealand were continuing to fluctuate with the fortunes of their major industries. "The Government will continue working through the Business Growth Agenda and the new Regional Growth Programmes to help build on each region's strengths, attract new investment, and diversify their economies," Mr Joyce said.
