McCain’s Hastings Closure Will Hit Hawke’s Bay Growers Hard
Central Hawke's Bay Mayor Will Foley says McCains plans to close its Hastings vegetable processing factory is a "tough pill to swallow" for the Hawke's Bay region.
Dane Ambler, executive director of Buy NZ Made, says the announcements are a stark reminder that local producers are operating in an increasingly difficult environment with rising costs, weakening demand, and growing international competition placing sustained strain on businesses and jobs.
"A recent Buy NZ Made survey reveals the depth of the challenge," Ambler says.
"Almost half of respondents (46%) report rising operational costs, while more than a third (39%) say slow demand is impacting their performance. Together, these pressures are creating a perfect storm for local manufacturers, many of whom are already operating on tight margins."
Ambler says that behind every announcement like those made by Watties and McCain are hundreds of families and communities impacted.
"These are not isolated events, they reflect broader structural challenges facing New Zealand manufacturing," he adds.
Ambler says the Government and consumers need to step up and support locally made products.
"We need stronger, more deliberate backing of New Zealand made goods and services. That includes government procurement policies that prioritise local suppliers, targeted support to ease compliance and cost pressures, and a clear strategy to strengthen domestic production."
While supporting local is critical, the current economic climate is also shaping consumer behaviour.
"We know Kiwis want to buy local, but the reality is that times are still tough. Cost of living pressures mean many households are pulling back on spending, which is flowing directly through to reduced demand for locally made goods."
Buy NZ Made is calling for a coordinated response that recognises both sides of the equation; supporting producers while acknowledging the financial constraints facing consumers.
"New Zealand manufacturing plays a vital role in our economy, from regional employment to supply chain resilience. If we don’t act now, we risk seeing more closures, more job losses, and a further erosion of our local capability."
"This is about backing ourselves as a country. Supporting NZ made means supporting jobs, communities, and our economic independence."
