1 00:00:00,120 --> 00:00:02,560 Speaker 1: Good news for farmers this morning. Government's allowing them to 2 00:00:02,640 --> 00:00:04,560 Speaker 1: use their can we saveor to buy their first home 3 00:00:04,640 --> 00:00:07,120 Speaker 1: or farm. Previously you miss out because you have to 4 00:00:07,160 --> 00:00:10,680 Speaker 1: live in the property while work requires you to stay 5 00:00:10,800 --> 00:00:13,280 Speaker 1: in some employer housing. Not just farmers wh will benefit 6 00:00:13,320 --> 00:00:15,079 Speaker 1: by the way, Nicola, what is the finance minster with 7 00:00:15,160 --> 00:00:18,200 Speaker 1: us this morning? Mister, good morning, Good morning man. Hey, 8 00:00:18,239 --> 00:00:20,360 Speaker 1: before we get to this, have you had any updates 9 00:00:20,360 --> 00:00:23,480 Speaker 1: from officials anything to worry about with the Middle East? 10 00:00:23,920 --> 00:00:26,160 Speaker 1: But you know read the economy re oil. 11 00:00:27,080 --> 00:00:31,120 Speaker 2: Yes, I have had briefings from the Treasury. So at 12 00:00:31,120 --> 00:00:33,519 Speaker 2: this stage, because we don't know the duration and the 13 00:00:33,560 --> 00:00:36,800 Speaker 2: scale of what's happening in the Middle East, that's too 14 00:00:36,880 --> 00:00:40,680 Speaker 2: early to properly assess the economic impacts. Of course, what 15 00:00:40,760 --> 00:00:43,680 Speaker 2: we'll be watching today is what happens with the price 16 00:00:43,720 --> 00:00:46,800 Speaker 2: of oil, which of course could be impacted by the 17 00:00:46,840 --> 00:00:51,640 Speaker 2: disruption in the structure, and that obviously has implications for 18 00:00:51,880 --> 00:00:55,520 Speaker 2: inflation and economic activity. So we will be watching that closely, 19 00:00:56,400 --> 00:00:59,720 Speaker 2: and that and also for any possible supply chain impacts 20 00:00:59,720 --> 00:01:03,960 Speaker 2: for our exporters. And then in due course, as this unfolds, 21 00:01:04,160 --> 00:01:05,800 Speaker 2: there will be the question of whether it has an 22 00:01:05,840 --> 00:01:10,120 Speaker 2: impact on overall global economic growth, which of course always 23 00:01:10,120 --> 00:01:11,640 Speaker 2: has implications for New Zealand. 24 00:01:11,920 --> 00:01:14,160 Speaker 1: Lots of risks there for US then, and these the 25 00:01:14,440 --> 00:01:20,080 Speaker 1: Golf Cooperation Council that together there are six largest export markets. 26 00:01:20,520 --> 00:01:25,000 Speaker 2: Yes, that's right. And of course what we saw during 27 00:01:25,160 --> 00:01:29,280 Speaker 2: the life strikes on around last yourn was that initially 28 00:01:29,319 --> 00:01:31,679 Speaker 2: you saw or old price of spike in the morning, 29 00:01:32,160 --> 00:01:36,040 Speaker 2: they came down by the evening. You saw initial disruption 30 00:01:36,120 --> 00:01:40,319 Speaker 2: and markets and then eventually actually the SMP the cupboard. 31 00:01:40,720 --> 00:01:43,040 Speaker 2: But of course this is a very different event and 32 00:01:43,080 --> 00:01:45,240 Speaker 2: so it's difficult to predict what we'll see over the 33 00:01:45,319 --> 00:01:46,440 Speaker 2: next twenty four hours. 34 00:01:46,480 --> 00:01:49,160 Speaker 1: Do you want the Americans to stop? Do you want 35 00:01:49,200 --> 00:01:50,280 Speaker 1: these rallies to stop? 36 00:01:51,880 --> 00:01:57,120 Speaker 2: Well, of course New Zealand always calls for diplomatic engagement. 37 00:01:57,840 --> 00:02:02,440 Speaker 2: In this case, we do want the leftover regime in 38 00:02:02,440 --> 00:02:05,760 Speaker 2: Iran engaging in diplomatic talks. 39 00:02:05,920 --> 00:02:08,000 Speaker 1: Right, so we do want that. We do want the 40 00:02:08,000 --> 00:02:10,720 Speaker 1: Americans to stop bombing and the Israelis to stop bombing 41 00:02:10,720 --> 00:02:12,480 Speaker 1: and to start talking. That is our position. 42 00:02:13,160 --> 00:02:16,800 Speaker 2: Well, we join the international community and wanting this crisis 43 00:02:16,840 --> 00:02:19,839 Speaker 2: to end as quickly as possible, So we don't want 44 00:02:19,880 --> 00:02:23,560 Speaker 2: the regional escalation. We want a resumption of negotiations. We 45 00:02:23,600 --> 00:02:27,400 Speaker 2: want adherence to international law, and we're urging the Iranian 46 00:02:27,480 --> 00:02:29,920 Speaker 2: leadership to seek a negotiated solution. 47 00:02:30,120 --> 00:02:31,480 Speaker 1: Are you urging the same of Trump? 48 00:02:33,280 --> 00:02:36,480 Speaker 2: Obviously, negotiation requires both side. 49 00:02:37,040 --> 00:02:39,760 Speaker 1: Hey, let's go to talk about the key. We saber changes. 50 00:02:39,840 --> 00:02:42,120 Speaker 1: This is great for farming, not just farmers, though I 51 00:02:42,120 --> 00:02:44,720 Speaker 1: want to make clear, it's basically anyone who has to 52 00:02:45,360 --> 00:02:46,800 Speaker 1: live somewhere else for their job. 53 00:02:48,080 --> 00:02:51,720 Speaker 2: Well, it's people typically in rural communities, because if you're 54 00:02:51,760 --> 00:02:55,360 Speaker 2: a teacher at a remote school, if you're a police 55 00:02:55,360 --> 00:02:58,680 Speaker 2: officer and a remote community, often the reality of your 56 00:02:58,680 --> 00:03:01,360 Speaker 2: work is that your employer provides you a house close 57 00:03:01,400 --> 00:03:04,640 Speaker 2: to that workers, and often the case for people working 58 00:03:04,720 --> 00:03:07,800 Speaker 2: on farms. And what that has meant is many rural 59 00:03:07,880 --> 00:03:11,720 Speaker 2: workers are locked out of using the key. We save 60 00:03:11,760 --> 00:03:14,640 Speaker 2: a provision by which you can use your savings to 61 00:03:14,680 --> 00:03:17,520 Speaker 2: buy a house, and our viewers, if you're working hard 62 00:03:17,560 --> 00:03:20,080 Speaker 2: to get ahead, the fact that you have to live 63 00:03:20,200 --> 00:03:23,240 Speaker 2: where your workers shouldn't exclude you from getting on the 64 00:03:23,240 --> 00:03:23,960 Speaker 2: property ladder. 65 00:03:24,200 --> 00:03:25,880 Speaker 1: Do you know how many might actually take it. 66 00:03:25,880 --> 00:03:30,680 Speaker 2: Up, Well, it's difficult to estimate because we don't have 67 00:03:30,760 --> 00:03:34,040 Speaker 2: the number of service tendancies. On farms, there are thousands 68 00:03:34,080 --> 00:03:37,400 Speaker 2: of farms and many many workers have a servance tendency. 69 00:03:37,920 --> 00:03:40,840 Speaker 2: In terms of government employees, we know that there are 70 00:03:40,920 --> 00:03:46,040 Speaker 2: around eight hundred defense personnel living in service tendancies, about 71 00:03:46,120 --> 00:03:50,320 Speaker 2: two hundred education personnel, two hundred police, about five hundred 72 00:03:50,360 --> 00:03:51,480 Speaker 2: health workers. 73 00:03:52,400 --> 00:03:54,520 Speaker 1: All right, we'll see we would get to with that. Hey, 74 00:03:54,560 --> 00:03:57,360 Speaker 1: what the IPSOS issues monitor I mentioned at the start 75 00:03:57,400 --> 00:04:00,880 Speaker 1: of this interview. How can you be ahead of you 76 00:04:00,960 --> 00:04:03,200 Speaker 1: in cost of living even though inflation is lower and 77 00:04:03,280 --> 00:04:05,800 Speaker 1: interest rates are coming down. Is this the sales job 78 00:04:05,840 --> 00:04:07,200 Speaker 1: that you're not getting across. 79 00:04:07,920 --> 00:04:10,400 Speaker 2: Well, I just think the cost of living has been 80 00:04:10,720 --> 00:04:14,960 Speaker 2: and is so tough on people because they've gone through 81 00:04:15,520 --> 00:04:20,480 Speaker 2: several years in which inflation was really high, prices spiked 82 00:04:20,520 --> 00:04:24,000 Speaker 2: up really high, and the reality is that while incomes 83 00:04:24,000 --> 00:04:26,400 Speaker 2: have been rising, they haven't caught up with those price 84 00:04:26,520 --> 00:04:29,920 Speaker 2: rises yet. So every aquis are funding it tough when 85 00:04:29,920 --> 00:04:32,320 Speaker 2: they go to the supermarket, when they fill up at 86 00:04:32,320 --> 00:04:32,680 Speaker 2: the tank. 87 00:04:32,800 --> 00:04:35,200 Speaker 1: So the fail marks fear, the fail marks fear. 88 00:04:36,240 --> 00:04:39,520 Speaker 2: Well, I think the reality is people are really feeling 89 00:04:39,560 --> 00:04:43,279 Speaker 2: the cost of living. The question that the election should 90 00:04:43,279 --> 00:04:46,479 Speaker 2: center on is what is the plan for addressing that 91 00:04:46,720 --> 00:04:49,120 Speaker 2: and our commitment as the government has been you've got 92 00:04:49,160 --> 00:04:53,120 Speaker 2: to keep the basics right, spending and inflation under control. 93 00:04:53,400 --> 00:04:55,240 Speaker 2: You've got to make sure you do that, or will 94 00:04:55,279 --> 00:04:58,240 Speaker 2: go back to the big inflation spikey head under labor. 95 00:04:58,279 --> 00:05:01,360 Speaker 2: I'm not hearing any solutions from later yet. I get 96 00:05:01,400 --> 00:05:03,640 Speaker 2: that it's a major issue. It's the big issue people 97 00:05:03,720 --> 00:05:06,440 Speaker 2: raised with me. But the question is what would later do. 98 00:05:06,640 --> 00:05:07,720 Speaker 2: I think that'd make it worse. 99 00:05:08,320 --> 00:05:10,320 Speaker 1: But you're still spending more than grant though, aren't you. 100 00:05:11,920 --> 00:05:15,080 Speaker 2: Well, not as a proportion of the economy. We've produced 101 00:05:15,120 --> 00:05:18,000 Speaker 2: spending the proportion of the economy while investing in the 102 00:05:18,000 --> 00:05:19,920 Speaker 2: frontline services that keywis. 103 00:05:19,560 --> 00:05:23,040 Speaker 1: Realized very quickly on supermarkets. I heard that Tesco didn't 104 00:05:23,080 --> 00:05:24,560 Speaker 1: have a meeting with you last year. Are we going 105 00:05:24,600 --> 00:05:26,719 Speaker 1: to get anything out of these RFIs you would asked 106 00:05:26,720 --> 00:05:27,440 Speaker 1: for a year ago. 107 00:05:28,440 --> 00:05:32,880 Speaker 2: Well, the RFIs were directly what resulted, and the changes 108 00:05:32,920 --> 00:05:36,960 Speaker 2: we have made to the fast track legislation for SIS markets, 109 00:05:37,000 --> 00:05:40,719 Speaker 2: to the building content requirements for suser markets, the digital 110 00:05:40,800 --> 00:05:43,960 Speaker 2: labeling trialing trial we're embarking on those are all direct 111 00:05:44,279 --> 00:05:48,160 Speaker 2: feedback from the RFI. I'm as disappointed as anyone else, 112 00:05:48,360 --> 00:05:52,400 Speaker 2: but the big international players don't seem interested in coming 113 00:05:52,400 --> 00:05:54,880 Speaker 2: to the New Zealand market. The reality is we've got 114 00:05:54,920 --> 00:05:58,799 Speaker 2: two none of them very big incumbents. Well in terms. 115 00:05:58,640 --> 00:06:01,279 Speaker 1: Of you've made a change, you've got the rfs, you've 116 00:06:01,279 --> 00:06:04,200 Speaker 1: made the changes, none of them want to come. I 117 00:06:04,200 --> 00:06:05,880 Speaker 1: mean it is shame, But isn't it just because we're 118 00:06:05,920 --> 00:06:08,240 Speaker 1: too small and far away? You know it was never 119 00:06:08,279 --> 00:06:08,839 Speaker 1: going to happen. 120 00:06:09,920 --> 00:06:13,279 Speaker 2: Well, Actually, what we do is we've got a market 121 00:06:13,279 --> 00:06:17,320 Speaker 2: where you've got two really dominant players in the North 122 00:06:17,360 --> 00:06:20,480 Speaker 2: and South Island and that makes it a difficult market 123 00:06:20,560 --> 00:06:25,720 Speaker 2: to enter profitably, and so we are seeing some expansion occurring. 124 00:06:25,760 --> 00:06:29,719 Speaker 2: Costco's indicated interest in that expansion. We are seeing some 125 00:06:29,880 --> 00:06:34,960 Speaker 2: New Zealand operated grocery providers with plans to do more 126 00:06:35,000 --> 00:06:37,280 Speaker 2: in the future. We want to encourage that. We want 127 00:06:37,320 --> 00:06:37,919 Speaker 2: to support that. 128 00:06:38,160 --> 00:06:40,039 Speaker 1: All right, min it's to appreciate your time this morning. 129 00:06:40,040 --> 00:06:41,720 Speaker 1: Thanks for being up and early with me. Nichola Willis, 130 00:06:41,800 --> 00:06:42,640 Speaker 1: the Finance Minister. 131 00:06:43,480 --> 00:06:46,440 Speaker 2: For more from Early Edition with Ryan Bridge. Listen live 132 00:06:46,600 --> 00:06:49,599 Speaker 2: to news Talks it'd be from five am weekdays, or 133 00:06:49,640 --> 00:06:51,560 Speaker 2: follow the podcast on iHeartRadio.