Fantasyland ‘unjustified’

Press, 6 October 1987, Page 1

Fantasyland ‘unjustified’

Mr Goffs dismissal of the 1975 to 1984 period,as “fantasyland” was unjustified,/said the National Party’s trade and industry spokesman, Mrf Philipßurdon, in Christchurch last evening. He accused (he Minister of being “ignorant Of, the realities of the manufacturing sector and how the economy functions.” During those nine years, {export earnings rose from $2OO million a year, to

$2500 million a year, he said. The period Included the introduction of the Closer Economic Relations agreement with Australia, deregulation of tot; transport and meat industries, arid toe - introduction of voluntary unionism. “That represents a massive opening up of toe New Zealand - economy by any standards,” Mr “ Burdon said. New Zealand manufacturers

were struggling with a grossly overvalued exchange rate which put them at a disadvantage compared with their trading competitors*' ■ : The production sector was now working in a "totally hostile environment” Its move towards collapse was shown by the drop in the volume of exports, business closings; and the drastic fall-off in investment in plant and equipment Mr Burdon said.