Nelson Economic Summit, some Good News?
With the headline “Nelson well placed to bounce..” the Nelson Mail reports that an Economic Summit held locally in Nelson has been told that 2009 will be tough.
In the story, our local paper reports that more than 200 local business representatives attended Nelson’s first economic summit yesterday, Friday.
Echoing sentiments in other forums, the message from two economists, Nelson’s new cabinet minister and a local business expert was that 2009 is going to be tough.
Mention was made of the Reserve Bank forecasting gross domestic product will continue to fall through next year before rising slowly towards the end of 2009.
The good news, however, was that Nelson will be well placed to bounce back after things start to stabilise.
They also reported…
Dr Smith believed Nelson’s reliance on aquaculture and tourism put the region in a positive position for the future.
“There are more people that eat farmed fish than wild fish in the world now. It is a great asset that the Nelson region has and one that needs to be harnessed.”
The Nelson region relies heavily on primary production and small to medium-sized businesses.
And amongst more local area positives…
John McCliskie believed that although those businesses would feel the pinch as export markets became even tougher, when commodity prices rose, Nelson would be among the first to benefit.
And as far as relating to housing goes…
Westpac economist Dominick Stephens said the Nelson housing market would face the same troubles as the national market, even though it had broken that trend in recent years.
In 2003, there was a large spike in house prices that was well above the national average but had since tailed off.
“Even though there was that bubble, if I had bought a house in Nelson in 2000, it would be worth the exact same price as a house bought anywhere else in New Zealand. So as far as Nelson’s housing market is concerned, there isn’t much news. You will be subjected to the same stresses as everybody else.”
Re the above clickable chart, ..as I have also posted many times before, locally we felt the spike long before most other parts of NZ, and then our market stabilized for a period. That period lasted only as long as it took other parts of NZ, particularly other South Island regions to experience their own surges. Once that happened there is plenty of local evidence to say that many of them, after selling up their business, farm, properties down south also migrated towards the Nelson / Tasman region.
SOURCE : NELSON MAIL Full article here...
December 14 2008 10:20 am | Nelson
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