Accreditation plays a significant role in facilitating trade, employment and GDP
Economic research carried out by the New Zealand Institute of Economic Research (NZIER), a specialist consulting firm, reveals that accreditation facilitates $27.6 billion of New Zealand exports – over 56% of total exported goods.
Exporters need to be known and recognised overseas as delivering high-quality, safe good and services to market. IANZ, the New Zealand accreditation body, provides this ‘seal of approval’, which reduces exporters’ transaction costs and risks, and supports ongoing government and business efforts to lift the value-add from exports.
An illustrative economic modelling exercise provides an indication of the additional value that accreditation delivers to New Zealand exports. If an 8% ‘accreditation price premium’ that an overseas survey suggests exports receive from accreditation were to be removed, it would cost accredited exporters around $4.5 billion, and cause New Zealand’s GDP to drop by 0.63% or $1.65 billion.
IANZ also plays an important role in the domestic economy. Its accreditation services support industries that account for £25.8 billion of GDP, and which employ almost 358,000 workers (17% of total employment).
A full copy of the report is available for download.