World is the boatbuilders' oyster

In part two of the Herald's look at Auckland's fascination with boats, David Eames examines the industry that keeps it all ticking

Worldwide demand for Kiwi-built boats and equipment has sparked a manpower shortage across the New Zealand marine industry.

Boating Industry Training Organisation general manager Robert Brooke says "500-odd" apprentices are being trained, in 179 boatbuilding operations - about 60 per cent of which are based in Auckland.

"And there are other boatbuilders out there as well."

An international reputation for consistently outstanding work has led to a "sky high" boatbuilding industry, with more work than it knows what to do with.

The marine industry is now worth about $1.5 billion, of which components including spars, carbon-fibre masts and boat interiors make up $457 million.

Marine Industry Association figures show builders of recreational yachts and launches from five to 25 metres generated $241 million in the year to March 2005, with super yachts (anything above 25m) earning the industry $201 million.

And there is not likely to be any let-up in demand, with industry earnings expected to double by 2020.

The commercial and work-boat sector is expected to add another $200 million to $300 million to that total. Super yacht builder Alloy Yachts International has three yachts under construction, another one to start, and is contracting for two more.

About 50 of the 297 employees of the Henderson-based company are apprentices.

But managing director Tony Hambrook says he would take on more staff if he could get them.

As most of his clients are from overseas, the super yacht industry is almost immune to fluctuations in the New Zealand economy, but the company can get caught out when times are good. Alloy prefers to build sail boats, and will not even quote on vessels under 33 metres. A healthy economy generally means a labour shortage, and a strong kiwi dollar will often stop foreign buyers choosing to have their latest super yacht built here.

That means Alloy's client base is usually spread around the globe.

The company has experienced "runs" of buyers, from North America, the United Kingdom, Europe and Australasia, with the next boat to be built for a Belgian client.

Robert Brooke believes at least 100 boatbuilders are required nationwide, with up to 47 needed in Whangarei right now.

A manpower shortage means manufacturers would likely look to hire imported labour, he says. "Anyone who wants a job from overseas will get one, provided they are good. But we don't just take anybody."

Mr Brooke's training industry has also placed advertisements calling for apprentices, and will hit schools on recruitment drives.

"We will train the right people to build the right boats."

The Boating Industry Training Organisation held its largest-ever graduation ceremony in November, with 94 successful apprentices and trainees.

Apprenticeships usually run about four years, with pay rates from minimum wage and ranging to $18 to $20 per hour.

"We just want someone who wants to be around boatbuilding and has a feeling for boats. That's the main thing ... we will train 'em."

By the time training is over, newly qualified boatbuilders could find that "the world is their oyster. If they want to do their OE, gosh, they have got their ticket," Mr Brooks says.


Industry a top-10 earner

The New Zealand boat manufacturers and marine products industry earns about $525 million from exports. It now ranks within the top-10 earners of foreign exchange for New Zealand.

More than 50 per cent comes from sales of finished boats, with a large proportion from super yachts. Trade in these luxury craft now supports a dozen super yacht boatbuilders specialising in composite, alloy or steel hull construction. Other export earners are power cruisers, high-performance sail and power boats, rigid inflatable boats (RIBs), commercial craft, hardware and accessories including sails, masts, booms, rigging, propulsion systems, marine electronics and software, clothing and buoyancy aids. Other services include consulting, refit, maintenance and repair, as well as naval architects and designers.

The major markets are the United States, Europe, Asia and Australia.

Source: New Zealand Marine Export Group Inc.