Purchase a ‘stepping stone’

Press, 8 September 1989, Page 4

Purchase a ‘stepping stone’

By DAVE WILSON Cable Prices Downer, the New Zealand partner in the Anzac frigates consortium, last evening hailed the Government’s decision on the frigates project. The company’s managing director, Mr Rick Christie, said the frigate programme would provide New Zealand industry with a stepping stone to future contracts for defence work and civil projects overseas. Amecon, the Australian consortium that has won the frigate order,

has guaranteed that at least 83 per cent of the work on the ships will be contracted to New Zealand and Australian companies. Canterbury industry is poised to win a significant share of the New Zealand content. However, the Cable, Price Downer projects manager, Mr Bruce McLean, said it was too early to specify the exact amount of work the area could expect. He said contracts with contractors and hundreds of subcontractors in Australia and New

Zealand had to be determined and signed, a process that could take many months. Mr Christie said the frigates deal was good for New Zealand because the ships would be supplied at an internationally competitive price and their, modular construction meant a high level of New Zealand industrial participation. “Co-operation between New Zealand and Australian industry on the project will extend the effectiveness of C.E.R., giving New Zealand companies access to the very lucrative Australian defence market.”