Economic Overview of Rotorua 

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Rotorua’s economic output is estimated at $2,3 billion per year. Rotorua’s estimated economic growth rate is currently steady at around 2.4% per annum, slightly above the trend at the national level.

 A growth rate of around 2.6% per annum, in line with national projections, is projected in the longer term. Labour force participation has increased substantially over the past decade, and unemployment has recently fallen to record lows. Rotorua’s occupational profile is gradually changing, with fewer agricultural workers and increased numbers of manufacturers, professionals, teachers and other service occupations. Census results show that the most significant industries in the District in terms of employment include retail trade (employing 3,500 people), manufacturing (3,500), property and business services (2,550), health and community services (2,500), agriculture and forestry (2,400), accommodation, cafés and restaurants (2,300) along with education (2,300). Fast-growing sectors over the coming years are expected to include trade and tourism, machinery and equipment manufacturing, wood products manufacturing, health, education, forestry and transport and logistics. There are a number of available sites for new investment in the Rotorua District, particularly for light industry.

 Business confidence

Council commissions a 6 month survey of Rotorua firms to assess trends in business confidence. The results are compared with those of a national survey undertaken by the National Bank.

The most recent results for June 2008 show that the local confidence indexes are showing signs of reduced confidence, with householders being more pessimistic than Rotorua businesses.

On a positive note, personal income is expected to increase, profits for business are expected to rise, and investment into businesses has increased.
Rotorua businesses expect local general business conditions and local economic activity to remain steady (although households expect conditions to decrease in both cases). Business employment is expected to remain static. Both businesses and households report an expectation of interest rates staying at June 2008 levels.

On the negative side, local unemployment is expected to increase and prices are expected to rise.
Businesses involved in exporting report an expectation of increasing export levels.
Construction businesses involved in residential construction expected increasing levels of construction, while those involved in commercial construction expected reducing levels.

Source APR Consulting Rotorua

For a full download of the Business Confidence Survey Jun 2008 .

“Rotorua offers exporters like us everything we need: reliable workforce, central location, easy access to ports, low overheads and a lifestyle that can’t be beaten”

Mike Low – General Manager, Hayes International