Users to pay $4400 for trade services

Press, 3 September 1986, Page 2

Users to pay $4400 for trade services

By

MARTIN FREETH

in Wellington Charging exporters for information from New Zealand’s overseas trade commission is intended to recover 15 per cent of the Government’s budget in that area this year, rising to 30 per cent next year. The new “user pays” policy from October 1 will launch a drive to make the commissions more responsive to the international marketing requirements of exporters. Companies will be charged $4400 for access to information from all 40 posts or $275 for access to just one.

The Minister of Overseas Trade, Mr Moore, yesterday told trade commissioners that they would move from being a Government department to a firm of business consultants. Commissioners from all the posts, have been recalled for a conference in Wellington this week and seminars throughout New Zealand next week to sell their new service, which will be called Tradecom. In addition to the basic access, exporters will be able to buy the posts’ expertise in performing particular marketing tasks.

The Trade and Industry Department’s trade services division has a $15.2 million vote this year, well ahead of that in 1985-86. However, this includes $6.6 million for the new Market Development Board and a further $2.5 million has been designated for special promotions.

Mr Moore said the Government was likely to spend more this year on participating in overseas trade fairs. A new scheme for this would ease access to more fairs for more companies by raising the funding, contribution from both the Government and the exporters, he said. Mr Moore said 30 per cent cost recovery for the division was probably the limit because much of the work could not be charged out. However, improving trade commission’s efficiency and worth to exporters was the main aim, not cost recovery. “No longer will trade commissions be some sort of social welfare drop-in centre for ’an exporter who is lost.” “

Tradecom’s first clients presented cheques to Mr Moore yesterday. They are the Apple and Pear Marketing Board and the electrical appliances manufacturer, AWA New Zealand.