Straterra has heralded a new Australian Minerals Council report as timely proof of mining's economic value outside of direct royalty revenue.The report, by Deloitte Australia, states that the mining sector played “a key role in shielding Australia f
Straterra has heralded a new Australian Minerals Council report as timely proof of mining’s economic value outside of direct royalty revenue.
The report, by Deloitte Australia, states that the mining sector played “a key role in shielding Australia from some of the worst consequences of the global financial crisis”.
Value added, industrial production, exports, employment, wages and investment all grew more rapidly in the mining sector than in the wider economy during the 2008-2009 period.
Acting Straterra chief executive Chris Baker was pleased with the implications of the report, at a time when the government here is considering submissions on the Schedule 4 proposal.
“It’s all here in black and white – mining can and does provide an important economic platform for growth,” he said today.
“The Schedule 4 proposal is aimed at gaining a better understanding of the potential for mining in New Zealand to make a bigger contribution to our economy.”
The government’s parallel review of regulatory, royalty and taxation arrangements for the minerals sector, due to be completed this year, has the same objective, but Mr Baker told NBR that the royalties issue was “marginal” in terms of value added to the NZ economy.
“Most of the benefit arises from the wages taxes and economic activity that the mining activity creates,” he said.
Mr Baker said Straterra would be concerned if an increase to mining royalties was proposed.
