By ROSALEEN MACBRAYNE
TAURANGA - Food manufacturing and processing are becoming big business in Tauranga.
Total turnover for 39 companies this year was $172 million, said Tauranga's Economic Development Association chief executive, Ian Madden, who believes the region is well on the way to challenging Hawkes Bay as the country's main
food-processing centre.
A survey showed the industry was growing steadily and contributing significantly to the local economy, he said. Exports had risen almost 72 per cent in three years.
The 39 companies surveyed by the association employ almost 1000 fulltime staff, out of a Tauranga workforce estimated at 38,000. Mr Madden said another 15 to 20 smaller processing firms were probably "working quietly behind the scenes."
Only 15 of the companies surveyed employ more than 21 workers, indicating that small- to medium-sized businesses are the main contributors.
They produce goods ranging from pate, pet food, salt, bee and honey products, to seafood, desserts, wine and refined oils.
The main export markets are Asia and Australia, but goods also go to North America, Europe and the Pacific. Domestic sales are worth more than $98 million.
The main animal and milk processors have not been included in this survey or one 2 1/2 years ago.
Turnover for the 10 companies last surveyed in 1997 rose nearly $12 million - a 26 per cent increase - and staff numbers have risen 9.6 per cent.
Mr Madden said the food processing industry not only benefited the local economy but other businesses gained by providing components such as packaging, energy and distribution.
The companies belong to a cluster group, Food-BOP - the Tauranga Region Food Manufacturers and Processors Association - which has 42 members.
Chairman Bob Antram said the critical issues facing the industry were the availability of skilled labour, management expertise and quality training.