Food Innovation Centre a critical piece of infrastructure for Auckland

“An exciting investment in the future of Auckland’s economy,” is how Michael Barnett describes the announcement last week that the Government will support the development of a Food Innovation Centre in Manukau as part of a national Food Innovation New Zealand (FINZ) network.

Led by ex Zespri CEO Tony Nowell, the Food Innovation Centre will plug a critical hole in New Zealand’s product development process – the ability to upscale new products to commercial production scale.  The Centre will sit within the national food and beverage network and looks to provide leading-edge product commercialisation facilities currently out of reach of most small to medium sized enterprises. Such a facility will fill the gap between product design and the actual commercial development of branded, fast moving consumer goods ready for local and international supermarket shelves.

“The opportunities available globally for New Zealand via our food and beverage sector are staggering,” says Mr Nowell. “There are very few examples of New Zealand companies doing well in the international food sector and this is significantly due to a lack of commercial capability.”

“With the Government aiming to increase exports to 40% of GDP by 2025, facilities to assist businesses with product innovation and development in key sectors such as food and beverage is not just a nice to have,” he says.
The Food and Beverage Sector Competitiveness Report commissioned by the Auckland Regional Council late last year identified the ability of small and medium sized businesses to adequately resource the more technically demanding aspects of the manufacturing process as one of the main challenges to growth in the sector.
“With future export growth moving away from primary commodities, New Zealand’s traditional staple, toward higher value products such as processed foods, the availability of such a centre will give Auckland a facility critical for future economic growth”, comments Mr Barnett.

Mr Barnett says that Auckland’s location as a national distribution hub along with the availability of key skills and supporting industries makes Auckland a significant player in the food and beverage sector.

The Food Innovation Centre, likely to be located on a site near Auckland Airport further cements that position.

Contributing 52% of New Zealand’s current exports, the food and beverage sector is very important to New Zealand’s bottom line. The Auckland region accounts for 31% of total New Zealand food and beverage enterprises and 21% of total sector employment.  The food and beverage sector contributed $4.71 billion in to Auckland’s GDP last year, and provided for 11 per cent of employment in the region.