Auckland’s economic growth programmes are constructed around a focus – set out in Council’s Economic Development Strategy – on a small number of industries where our region is globally competitive.
The evolution of that approach has seen ATEED adopt a framework developed by the renowned US-based Brookings Institute around what it terms ‘advanced industries’. We have worked with the NZ Institute of Economic Research to define advanced industries in a New Zealand context, as having first, a very high level of research and development spend for each worker; and second, more than 1.5 times the national sector average of workers holding university degrees in science, technology, engineering or mathematics (known as STEM subjects).
The NZIER has provided ATEED with some interesting insights into Auckland’s advanced industries. They contribute $8.3 billion of Auckland’s GDP, 78,000 (11 per cent) of Auckland jobs, and $1.7 billion (12 per cent) of Auckland’s exports.
The knowledge-intensive services sector (for example, scientific research services and architectural services) contributes almost half of advanced industries' GDP ($3.8 billion) and jobs (38,000) in Auckland.
The region’s knowledge-intensive services exports have grown at an average of 5.8 per cent a year since 2000. This is faster than average export growth for non-advanced industries, suggesting significant export growth potential.
The ICT sector delivers $2 billion of Auckland’s GDP and more than 20,000 jobs, contributing to Auckland's reputation as a dynamic and creative innovation hub for the Asia-Pacific.
Based on the 11 per cent of Auckland’s jobs which are classified as being in advanced industries, our region is more advanced than the average US city (8.7 per cent). Using that measure, Auckland would rank as the US's 14th most advanced city, ahead of Portland, and Salt Lake City.
Our work to develop programmes to fuel our advanced industries is underway.