27 December 2002 Media statement
First Grants under Industry Cluster Development Programme announced
Regions and industries will benefit from Jim Anderton’s announcement today of $562,000 from Industry New Zealand to
support twenty industry clusters in a range of key industries.
Industry Clusters including wood processing, film production, organics and software will receive $28,125 each to engage
a facilitator. The facilitators will work to share expertise, identify common goals, and develop shared supplier and
marketing information so that the individual businesses in the cluster can all prosper.
“By supporting industry clusters, regions and groups of businesses can co-ordinate their strengths and use their
combined size to generate increased sales as well as taking advantage of savings,” said Industry and Regional
Development Minister Jim Anderton.
“I am pleased to see Industry New Zealand has funded clusters in all three key Government innovation industries,
biotech, Information and Computer technology and in the creative industries.
“Sixty proposals were received. The funding was allocated to clusters that offered the greatest benefits to their
regions and were clearly aligned with their region’s economic development strategy, said Jim Anderton.
Clusters can include universities, CRIs, polytechnics, expert advisers, distributors, retailers and customers linked in
a value-adding chain.
The Cluster Development Programme builds on the pilot cluster programme run by Industry New Zealand from January to June
this year.
The pilot provided insights into how the development programme should be run and identified the benefits that
participants in the pilot experienced. Those benefits included a focused commitment from a cluster facilitator, a
catalyst for further action, establishing the credibility of clustering as a tool, and the build up of networks and
trust.
ENDS
The following clusters have been funded under the Cluster Development Programme:
Kumara Industry Network
To expand the kumara industry in Northland. The cluster includes kumara growers, a distributor, Auckland University,
Hort Research and Crop and Food Research. In addition to wanting to expand the land area cultivated, the cluster hopes
long term to develop new businesses using the functional properties of kumara - vitamins, fibre, antioxidant and
anticarcinogenic properties. Contact: Jason Smith (09) 439 8360.
Northland Wood Processing
The impetus from this cluster arose from a survey undertaken earlier this year by the Northland Forestry Development
Group of six major wood processing members and growth they were likely to experience. The cluster, which includes 11
companies, has formed to take advantage of the increased opportunities presented by the ‘wall of wood’ to expand the
export of processed timber in a profitable and sustainable manner. Contact: John Halse (09) 438 5110.
Northland Marine
To further develop the Northland marine industry. The cluster aims to expand and develop the existing refit services to
Tuna and other "Black" boats and ultimately expand into "White boats" by working co-operatively. The cluster includes
engineering, interior, electrical, boatbuilding, yacht building and marine coating companies and will link in with the
Whangarei Steel and Aluminium ship building pilot cluster. Contact: Brian Roberts (025) 958 308.
Film Auckland
This cluster is a screen production attraction initiative aimed at generating foreign direct investment by attracting
internationally financed film projects. The cluster’s beginnings go back to a formal partnership between Auckland City
Council, Waitakere City Council and Enterprise Waitakere with the launch of a promotional DVD in September. Commitment
from other local authorities in the Auckland region is being sought. Contact: John Wadesworth (09) 387 1855.
Modus Operandi
Modus Operandi specialises in the management, production, marketing, distribution and representation of new and emerging
New Zealand fashion designers. The cluster will take 30 new designers and assist in marketing and production. Contact:
(09) 309 4008.
Waitakere & Rodney Organics
This cluster forms an integral part of the Waitakere City and Rodney District Councils economic development strategies.
The cluster hopes to increase the export opportunities for its member companies and seek partnerships with other
organics clusters throughout NZ. Contact: Nicki Wickes (09) 387 1855.
Archimedes
This cluster involves commercial companies as well as research institutes and universities in New Zealand but with
strong links to overseas expertise and networks. The cluster aims to research and apply novel intelligent computing
technologies principally related to the disabled, aged and educational markets and develop and commercialise products
from these new technologies. It then hopes to work collaboratively with international partners both in sourcing,
developing and marketing products from these breakthrough technologies. Contact: Chris Mulcare (09) 571 8164.
Waikato Ag Biotech
The Waikato Ag Biotech Cluster aims to provide opportunities to the many industries ancillary to dairying. It aims to
increase technology transfer from research and educational institutions to industry, to form a greater number of R partnerships between Waikato organisations and to increase the number of co-operative commercial ventures. Contact:
Philip Burton (07) 838 6507.
East Coast Timber Processing and Furniture Manufacturing Industries Cluster
This cluster involves sawmillers, wood processors, joiners, furniture manufacturers and Tairawhiti Polytechnic. There
are significant opportunities for using a cluster to expand the small scale, high value East Coast forestry sector. The
cluster hopes to facilitate growth in small to medium wood processing businesses both with increased ‘regional’ exports
to the Wellington and Auckland markets, as well as offshore opportunities. Contact: Peter Farley (06) 863 3062
Wools of Aotearoa
The Wools of Aotearoa cluster in the central North Island represents the marketing interests of a group of wool growers
including private farmers and Maori Trusts and Incorporations. The group want to leverage collective volume and secure
long term, sustainable export opportunities for its members. Mavis Mullins (0274) 578 960.
Wood Hawke's Bay
Wood Hawke's Bay is a cluster of some 70+ firms either located within Hawke's Bay or connected to the region through
relationships with regional firms. It has as its focus to increase the export volume and value of value-added timber
products, made predominantly from radiata pine. The cluster wants to improve its competitive advantage of secondary
value-added wood processing for export markets. Contact: Ron Dragt (06) 974 8936.
Oil and Gas Technologies
This cluster aims to actively promote Taranaki/NZ oil & gas technologies nationally and internationally, to maximise the local content of NZ based exploration and development
work,and to enhance capability of oil/gas support industry/technologies. Contact: Anne Probert (06)759 5155.
Kapiti Horowhenua Apparel and Textile
This cluster comprises 21 members with a core of around 15 companies involved in textiles, apparel, carpet and footwear.
The cluster wants to focus on joint marketing initiatives, training and skills development and strategic activities. It
aims to complete a new strategic plan, cluster capability document and web portal as well as develop a training and
skills programme and hard export development targets based on joint venture marketing. Contact: Tony Rush (06) 367-0524.
Wellington Creative Manufacturing
There are potentially 150 companies involved in this cluster which aims to develop the Wellington region as a centre of
engineering excellence, including a centre of design-led manufacturing excellence. One of the key elements for the
cluster will be working with WelTec and the Rapid Prototyping Facility already established and how to build this
facility into a centre of excellence. Contact: Blair McRae or Ron Daly (04) 494 2555
Nelson Marlborough Seafood Cluster
The cluster aims to enhance the region’s global position in deep sea fishing and aquaculture through value adding via
research and education. In addition to the major seafood companies operating out of Nelson, it involves the Cawthron
Institute, Otago and Canterbury Universities, Nelson Marlborough Institute of Technology and Marlborough aquaculture
companies. Contact: Peter Robins (03) 546 9175.
Canterbury Software
The cluster comprises mainly small software companies in Christchurch that are looking to expand their market through
collaboration. The cluster aims to help its members access capital, access mentoring and increased knowledge and links
to marketing opportunities. It also hopes to build on an already proactive tech community with events. Contact:Keith
Cowan (03) 358 0102 or Danniel Olykan (03) 353 6862.
Aoraki South Canterbury Functional Foods
This cluster aims to set a high standard of commercial focus with an opportunity to participate in the $100 billion+
world-market for functional foods. Turning commodity 'good food' into 'particularly healthy food' will deliver
potentially higher returns for growers, suppliers, manufacturers, wholesalers and distributors. Contact: Mark Rawson
(03) 688 9907.
Biosouth
A combination of over 50 companies and organisations including CRIs, the University of Otago, Otago Polytechnic and
Biotech service providers make up this cluster. The cluster aims to create effective networks, a strong science base in
the region and an entrepreneurial culture within the biotechnology community. It has the strong support of Dunedin City
Council. Contact: Peter Harris (03) 474 3463.
Otago Southland Forestry
The forest products group (OSFPG) represents leading industry, government and community groups, each of the main forest
growing and wood processing operations and key service suppliers to the industry in the lower South Island. Its aim is
to build on progress through regional branding; logistics efficiencies; address skills shortages and improve the
attractiveness of the industry as a career choice. Contact: Brent Apthorp (03) 471 0313.
The Lincoln Resource
This cluster aims to develop international leadership in the sustainable use of natural resources with the specific goal
of enhancing business development through the creation of a more collaborative environment. It involves CRIs, Lincoln
University and various research organisations. Contact: Bob Wynn-Williams (03) 325-6621.
Editor’s Note
Industry New Zealand is the national economic development agency responsible for building a portfolio of world class
businesses in New Zealand. Other support it provides for clusters includes the cluster builders manual, training for
cluster facilitators and a cluster conference planned for early April 2003.
In addition to the 20 clusters funded under the Cluster Development Programme, eight national clusters have recently
received funding to engage a facilitator through other Industry New Zealand programmes. They are:
Boatbuilding Standards
This is a cluster of eight boatbuilders of launches/yachts of 8.0 metres upward in length that have agreed to build
boats that conform to a set of owner-focussed build quality assurance rules. Contact: Ian Morrison (09) 376 1863
NZ Agritech
The cluster aims to increase export sales growth for companies in NZ Agritech’s agricultural technology sector. NZ
Agritech has formed a close working relationship with The American Farm Trust (AFT) in the USA as the AFT is keen to
adopt New Zealand technology to improve the efficiency and cost structure for hundreds of small/medium sized dairy
farmers within America.
Negotiations are underway for AFT to provide the Agritech cluster with a farm and dairy in Pennsylvania, and the cluster
will provide a NZ share milker and NZ agricultural equipment, dairy bull semen, machinery, electric fences and
consultancy advice. The demonstration farm will act as a selling point for NZ Agritech members and encourage more USA
dairy farmers to adapt and adopt appropriate New Zealand farming practices. The AFT is linked to an agricultural
university, farm consultants and decision makers on pastoral farming. Contact: John Wilson (09) 5206 999
New Zealand Health IT cluster
This cluster is an industry grouping of New Zealand-based health Software Developers, Universities and healthcare
providers, aimed at increasing market opportunities for local and international export sales, providing end users with
integrated solutions and providing mutual support for business development. Contact: Gavin Wright (03) 365 2266
Maori Aquaculture
The cluster plans to bring together new and established Maori aquaculture farmers to share information, experience, and
training, create economies of scale and engage in trading activities. Contact: Tom Manaena (04) 495 1132.
Fashion Industry New Zealand
This cluster, currently with 92 members, is the representative and developmental organisation dedicated to the
collective identification, discussion and action on issues specific to the fashion industry. Contact: Paul Blomfield
(021) 970 871
Furnz Ltd
This cluster was set up three years ago to develop opportunities in the USA for New Zealand furniture manufacturers. The
cluster is today operating in USA, and in the early stages of distribution development as a cluster in Australia and
Europe. Contact: Maree Blair (09) 528 9030.
Golf Tourism
The cluster aims to develop golf tourism by positioning the New Zealand golf experience more firmly for international
markets. It involves resort golf courses, championship/country courses, and the New Zealand Golf Assn. The Professional
Golfers Association of NZ and the New Zealand Tourism industry on and offshore will also participate in the cluster.
Contact: Geoff Burns (025) 582 832
Bulb Exporters of NZ (BENZ)
BENZ has seven shareholder bulb companies that work cooperatively to service markets. The companies are spread from
Auckland to Southland and produce 90 per cent of New Zealand’s bulbs. The bulb growers provide ‘out of season’ product,
especially to Japan and Holland. The cluster plans to take advantage of significant growth opportunities. Contact:
Phillip Van Eeden (03) 215 7836