HortNZ Welcomes $400 Million Boost for State Highway Resilience

The Government has set aside $400 million for state highway resilience projects to improve the reliability of key routes during and after severe weather events.

Projects funded through the package include resilience improvements on SH2 through the Waioweka Gorge and SH25 around the Coromandel.

Funding Recognises Importance of Reliable and Transport Networks

Kate Scott, chief executive of HortNZ, says the funding recognises how important reliable and resilient transport networks are for getting fresh produce to market across New Zealand.

“Many growing regions rely on a small number of key routes or packaging hubs, which creates real risks for perishable crops that need to reach domestic and international consumers quickly and efficiently," Scott says.

“Reliable and resilient transport linkages are important to the sector achieving its goal of doubling farmgate value of New Zealand’s horticultural production by 2035.”

Infrastructure Investment Supports Horticulture Growth Goals

The largest regions for horticultural production are Bay of Plenty and Hawke’s Bay - the produce generated in each region exceeds $5 billion (total) in value. Both are heavily export- focused and infrastructure disruption in either would put significant export earnings for New Zealand in jeopardy.

Fresh produce can move four or more times between paddock and consumer, including packhouse, wholesaler, distribution centre, and retailer, and transport disruption at any point can compromise quality.

“Horticulture production, packing and distribution is concentrated in the ‘golden triangle’ of Auckland, Waikato and the Bay of Plenty. About 50 per cent of New Zealand’s inter-regional horticulture produce movements transit over Waikato region roads.

“In Gisborne, only eighteen per cent and Northland, four per cent of produce packed in the regions is also distributed in the regions. That means inter-regional transport links are particularly critical but both have primary transport routes that are vulnerable to disruption.”

Vulnerable Transport Links Create Risks for Growers

A recent study commissioned under the Aotearoa Horticulture Action Plan (AHAP) highlighted the vulnerability of the Waioweka Gorge section of SH2, finding the route supports up to $112 million of produce movement out of the Gisborne region.

Its closure in February due to slips reinforced how significant the impacts of disruption can be for growers, says Scott.

“Safeguarding critical transport routes and reducing the risk of cascading delays are central to protecting shelf life, meeting market requirements, and ensuring the best possible returns for growers and the New Zealand economy.”