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Tourism to bolster local economy BY DAISY HUDSON
DAISY.H@THEGUARDIAN.CO.NZ
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A booming multi-million dollar tourism industry could soften the blow of the dairy slump in Mid Canterbury. Dairy prices have been on a downward spiral for months, putting mounting pressure on agriculturallyreliant economies like Mid Canterbury’s. The low payouts are expected to have a flow-on effect throughout the community as farmers rein in their spending. However departing Experience Mid Canterbury general manager Nigel Birt believes the local tourism industry is getting busier and busier, and that could help bridge the gap left by increasing dairy losses in the district.
Dairying was worth $1.39 billion to the Mid Canterbury economy during the 2013-14 season off the back of an $8.40 kg/ms payout, according to DairyNZ. That figure almost halved during the following season. The tourism industry contributes $118 million into the Ashburton District’s economy annually in electronic card transactions alone, Mr Birt said. In times when dairying hit a rough patch it was important to invest in other sectors, he said. “Diversification offsets any slumps in other industries,” he said. Politicians have been singing the praises of the tourism sector in the wake of growing dairy losses. Associate Finance Minister Paula
Bennett said tourism was vital to the growth being seen across New Zealand, particularly in Canterbury. The sector now makes up 4 per cent of Gross Domestic Product (GDP), she said. While the tourism sector is strong in Mid Canterbury, Mr Birt believes it is important for local agencies to act cohesively to remain competitive. Tapping into the strong Chinese tourism market was one area that needed to be explored, and a possible Agridome in the district was one way of doing that, he said.
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