Our Economy

The dairy industry play a sifgnificant part in the local economy

Matamata-Piako is one of eight full and four part districts that comprise the Waikato Region. In 2015, the Matamata-Piako district had a Gross Domestic Product per capita of $50,956, the second highest in the region, behind Hamilton City.

Learn more about our district and its economy here.

 

Economic Significance of Matamata-Piako to New Zealand

 

The proportion of the national Gross Domestic Product produced in the Matamata-Piako District has increased from 0.8% in 2013 to 0.96% in 2015. Matamata-Piako’s GDP growth of 2.9% was greater than the national growth in GDP of 2.0%.  

 The five leading employers in the district in the year to March 2015 are:  

  • Manufacturing
  • Agriculture, forestry and fishing
  • Construction
  • Retail Trade
  • Professional, Scientific and Technical Services

  

The dairy industry play a sifgnificant part in the local economy

While the percentage of the district’s employees employed in the five largest sectors in the district fell from 41.6% in 2004 to 39% in 2007, it rose in 2013 to 66.5% but dropped again 60.5% in 2015. The 2013 increase is most likely due to the inclusion of meat and poultry processing and dairy manufacturing categories into the manufacturing sector.. The inclusion of three, formerly, separate categories into one manufacturing category will therefore result in an increase in the numbers of people employed in manufacturing. The reduction in 2015 may be due to a diversification in the number of leading industries in the District which reduces the overall percentage of employees in the top five industries. Education and Training, which was fifth on the list of leading employers in 2013 and employed 5.3% of the workforce, has increased its share to 5.9%, but has been overtaken by Professional, Scientific and Technical services category which employs 6.9% of the district’s workforce.

The percentage of GDP earned by the five largest industries in the district, when measured by employee numbers, increased from 54.4% to 63.3% in 2013, but dropped to 58% in 2015. Similar to the notable percentage increase in employees in these five sectors, the increase in added value can be attributed to the inclusion of meat and poultry processing and dairy manufacturing categories into the manufacturing sector in 2013. The inclusion of these categories into manufacturing will cause a distinct effect on the percentage of value added in dollars for this sector. The drop in 2015 is likely also associated with the diversification of the leading sectors of the district’s economy with a greater number of industries contributing to the overall total.

Note: The data for 2004 and 2007 was sourced from University of Waikato “District Economic Analysis” reports for the Matamata-Piako district and contained specific statistics which were incorporated into earlier State of the Environment reports. However, the District Economic Analysis report was not available in 2013/14 and data has instead been sourced from Statistics New Zealand, as well as a 2013 annual economic profile of the district completed by Infometrics, an independent economic data company. The March 2015 Data was sourced from the Ministry of Business, Innovation and Employment.

The graph below shows the Matamata-Piako’s five largest industries, by employee number, in 2015, the share of the District’s total GDP that they produce, and the percentage of the district’s workforce that they employ:  

 *Due to way that the data is produced by MBIE, the employment count for Agriculture, Forestry and Farming is calculated as one figure, however, the GDP of these industries is calculated separately. The percentage of the district’s GDP earned by Agriculture, as the leading earner, has been displayed above. The percentage of GDP earned by forestry is therefore not included above.

 

This graph shows that the manufacturing sector contributes a higher proportion of the total economic output of the district (22%) than the percentage of people that are employed in the sector (15%). It is thus the most productive large industry when GDP is divided by number of employees.  

Sources:

Hughes,WR., 2005: Matamata-Piako DC District Economic Analysis for 2004, University of Waikato

Hughes,WR., 2008: Matamata-Piako DC District Economic Analysis for 2007, University of Waikato

Infometrics, 2013: Annual Economic Profile: Matamata-Piako

Statistics New Zealand

Ministry of Business, Innovation and Employment