Doing Business

Business in the South Island

Southland

Main towns/cities in Southland are Invercargill, Gore, Winton and Te Anau.

Invercargill, the Commonwealth and New Zealand’s most southern city, has a population of about 50,000 and is the provincial hub. It provides the business, administrative and educational center. 

The basis of economy/industry: Primarily commodity production from agricultural sector; traditionally sheep and beef and more recently dairying, Forestry, deer and crop diversification.Tourism is one of the region's main employers and is growing substantially.

Population growth (next 10 years): As at the last census in 2001, the population of the greater Southland region was 91,900, with Invercargill being 49,600.  Statistics NZ predicts ongoing decline (-6.7% 2001 stats) however the rate is already stabilising against historical trends.

Infrastructure: Port of Bluff; Invercargill Airport; State Highway transport Dunedin-Invercargill-Queenstown-Dunedin.

Southland is rich in raw materials, with the most extensive coal deposits (approx 65%) in the country. Large clay, peat and limestone deposits are also present along with a range of metallic and non-metallic minerals. The high quality soils on the plains and lower hill country are ideally suited to intensive grazing, cropping, horticulture and forestry production. As a result, Southland yields are generally higher than the rest of New Zealand. This important area produces 18% of New Zealand’s GNP through meat, wool, grain, dairy products and other agricultural exports, and reflects the positivity, drive and energy of New Zealand’s southernmost region.

While farming has traditionally formed the regions economic base, Southland is home to a diversity of manufacturing, 75% of which is exported. Large industry includes the Aluminium Smelter at Tiwai, the Fonterra export plant at Edendale and the Dongwha Patinna Fibreboard Plant at Mataura. Boat building ranges from pleasure craft to passenger and tourist vessels.

Clothing manufacturing is based on the plentiful supply of local pelts and includes high class outdoor apparel. There are several niche market operations in Southland including classic car and aircraft restoration.

Fishing is also a significant industry being concentrated around Stewart Island, Riverton, Milford and Waikawa.  The fishing fleet is made up of small to medium sized vessels with the main fishing methods being crayfish and cod potting, dredging, trawling and handline. There are many fish species, from wet fish to crayfish, paua, shark and squid, all having commercial value. The oyster beds of Foveaux Strait between the mainland and Stewart Island are a major resource. Salmon and mussel farming are established industries on the Island and oyster and scallop farming is increasing.

Source: Southland Chamber of Commerce