PACIFIC ISLAND CHAMBER OF COMMERCE

Jaewynn McKay, President of the Pacific Island Chamber of Commerce, distinguished guests, ladies and gentlemen.

I am pleased to see that business enterprise is flourishing within the Pacific Island community.

That is certainly the message I get from the turn-out of members and supporters of the Chamber tonight.

Many of you will know that I have just returned from the annual South Pacific Forum Summit, held this year in the Republic of the Marshall Islands.

Forum meetings are a valuable opportunity for Pacific leaders to discuss issues of political and economic concern to our region.

It is also a time to meet regional leaders and discuss issues as friends.

I was pleased to see Forum recognition that all our economies must become more efficient and competitive if growth is to be achieved.

Size or levels of development may constrain the options - small island states have less to work with than does, say, New Zealand or Papua New Guinea.

For countries like Kiribati, Tuvalu and the Marshalls, fisheries is virtually their only significant natural resource.

But the essential message is the same.

Economies grow when they build on their strengths, steer away from their weaknesses, release the energy of their private sectors and seek, increasingly, to link into the larger global market as a source of export earnings, expertise and investment capital.

We also looked hard at building up that most important resource of all - people.

For it is people - and only people - who can add value to natural resources.

In the Pacific region that means increased effort in development co-operation, education, training, and working with regional organisations that help bring together people, investment and innovation.

The same applies within New Zealand.

That's why I want to underline my Governments support for organisations like yours that are committed to helping New Zealanders improve their economic position.

My Government has a vision of New Zealand as a cohesive society in which all can secure improved standards of living through work and enterprise.

I am very sorry that one political party is again seeking to make immigration and therefore immigrants a divisive election issue.

As a New Zealander I object to that, as the son of migrants I object to that, as Prime Minister I object to that.

New Zealanders from all backgrounds, from all cultures, make up the New Zealand we know today - the New Zealand which is lauded for its success by all international commentators.

My ambition is to draw strength from every group in New Zealand.

Tonight I pay particular tribute to those migrants from our Pacific Island neighbours.

Consistent with that objective we disagree with some other political parties that advocate scrapping the Ministry of Pacific Island Affairs, we believe it has a unique role to play and should be maintained.

That role lies in ensuring that the development of mainstream social and economic policies recognise Pacific Island cultural values and aspirations, so Pacific people can participate and contribute fully to New Zealand society.

The functions of the Ministry of Pacific Island Affairs have been reviewed.

As a result of that review the new thrust of the Ministry provides increased emphasis on education, health and small business development

The Ministry will also continue to support the Pacific Island Business Development Trust.

The aim is to support innovative employment opportunities and entrepreneurial skills to increase the numbers of self employed Pacific Island people

Pacific Forum leaders this week were united in recognising the value of skilled human capital.

My Government will accordingly continue to provide more scholarships for Pacific people here, and in the region.

A number of other issues are also being addressed.

Social security is a case in point.

The Government operates a portability programme for people who move to countries where we do not have reciprocal social security agreements - in such cases we pay 50 per cent of the gross rate of New Zealand Superannuation.

In 1993 it was a National Government which set up a special portability arrangement with the Cook Islands, Niue and Tokelau.

In immigration the Government has enhanced policies for special quota arrangements with Western Samoa and continued free entitlement for the people of the Cook Islands, Tokelau and Niue to live and work in New Zealand if they choose.

We recognise the importance the income remittances and acquired skills play in supporting families here and in the island countries concerned.

We will also continue to work with Pacific church and community leaders to support Ministry of Pacific Island Affairs initiatives.

The Governments Pacific Islands Business Development Trust is a further example of my Government's commitment to meeting the needs of our multicultural society.

In June 1993 the Trust established the Pacific Island Chamber of Commerce, initially with an Auckland-based membership.

Since then membership has spread throughout New Zealand to about 500 people.

I am pleased to learn the Chamber stresses the need to maintain business network links with other New Zealand businesses and business organisations, especially those currently trading or intending to trade in the Pacific region.

Your success in starting from scratch is reflected in the list of product services you now offer to members:

· the "Green Pages" Business Directory which provides access to most of the Pacific businesses trading in New Zealand;

· the regular "Pacific Link" newsletter;

· free professional advice from staff or mentors; and

· business plan assistance.

I understand the performance targets of the Pacific Island Chamber have always been met, or exceeded, during the Chamber's existence.

While 85 per cent of the Chamber's clients are Pacific Island people, I am pleased to note the openness of its courses to other groups including, for example, in South Island towns where Maori people are wanting to increase their business skills.

With an estimated 1700 Pacific Island-run businesses in New Zealand, it is clear the community has established a presence that your organisation is building on, and building up.

New Zealand as a whole benefits from the employment, incomes and exports generated by these firms.

I am therefore pleased to learn the Chamber is assisting both the Pacific Islands Business Development Trust and the Ministry of Pacific Island Affairs to combat unemployment among Pacific Islanders.

The situation is improving.

Last month's Household Labour Force Survey indicated real improvement.

The Pacific Island unemployment rate has dropped by almost 10 per cent in two years, to now just over 13.5 per cent of the workforce.

Your Director Taha Fasi echoed the Governments view when he recently told the Morning Report programme that the Pacific Island community is getting back to work.

The measure of that success is highlighted when you compare our progress with the developed countries of Europe which average over 11% unemployment, with countries like Spain at 22% and Finland at 16.5%.

In New Zealand increased employment is the harvest of a growing economy.

The Pacific Island Chamber of Commerce has attributed the improved job figures to a combination of more Pacific Islanders taking up job training and the general growth in the economy over the past 12 months.

The reality is that Pacific Island business people, just like all other business people in this country, will only prosper if the commercial sector continues to grow and develop in a stable economic environment.

That is why I suggest to everyone here tonight only the return of a National-led Government on October 12th will guarantee that the progress you have made to date will continue.

The National Party believes that success tomorrow will go to those countries led by political parties that understand that knowledge and skills are going to be the most important resource a nation has, and therefore investment in education, science and research are going to be the key investments in the future.

That is why National is committed to investing 100's of millions of dollars more in education and training.

The recent Budget consolidated in place the proven policies that we have dedicated ourselves to. Those policies are working as is demonstrated by the jobs that have been created, the achievement of real economic growth and the turnaround in the Government's finances that enabled us to balance the budget and pay off debt.

A successful strategy is more than economic policy, its about the community, its about families.

Families shoulder the country's most important task - raising tomorrow's citizens.

If we get this right, most other issues are more easily dealt with.

Whatever their form, families are the heart of our communities, providing support and security.

We need to acknowledge that family structures are changing and the population is ageing.

Systems that support families must reflect these changes.

They must meet tomorrow's challenges, not yesterday's needs.

The needs of sole parent families differ from the needs of families with two parental figures.

Families in which both parents are in paid work face particular stresses.

The contribution older people can make, and the support we offer them, needs to be viewed in light of changes in family structures.

A Prime Ministerial Task Force on Positive Ageing has recently been established to explore the issues facing an ageing population and options for promoting positive ageing.

The growing strength of the economy has improved the lives of many New Zealand families.

A strong economy means more people are in work, education or training.

In thousands of ways, New Zealand families are taking up the challenges and opportunities of the growing economy.

Our value system depends on the strength of families - that's why tax cuts to working families were a critical element of this year's budget.

Politically and economically, we have laid clear pointers to the path ahead.

The OECD put it better than most in its recent report on the New Zealand economy. It said, that "while other OECD countries have pursued similar policies, few, if any, have done so in the context of such a coherent overall framework, stressing predictability, transparency and accountability."

That coherent overall framework is what New Zealand must hang on to.

We must also work to ensure that all people and cultures in New Zealand are equally welcome, their contribution acknowledged, and that they are given equal opportunity to participate and contribute in the development and growth of our country.