Southland business leaders are not likely to stick to oats and cream at their breakfast with Trade and Export Minister David Parker on Tuesday (September 15).

Mr Parker is returning to Invercargill for a second helping of talks with Southlanders, following a chat with farmers and Environment Southland representatives about new freshwater regulations last Monday (September 7).

During that conversation, he was wearing his Environment Minister’s hat, but it is clear that Southlanders expect him to be wearing two hats tomorrow.

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Business leaders were last week loath to preview the full menu of issues they wanted to chew over with Mr Parker, in the interests of a friendly discussion.

But Southland Chamber of Commerce chairman Neil McAra and Southland Aquaculture Working Group chairman Mark O’Connor have confirmed that salmon farming is an obvious issue the region would like to see moving forward.

Various parties have been investigating open sea aquaculture opportunities for several years and Ngai Tahu and Sanford have presented separate resource consent applications to Environment Southland.

This year, Government Ministers raised aquaculture as an industry that could save Southland from sinking under the weight of the economic recession predicted if the New Zealand Aluminium Smelter Ltd’s Tiwai Point plant closes in August next year.

The Southland Mayoral Forum and business leaders are keen for the smelter owners to delay closure by five years and have been pushing for Government assistance with a “just transition’’ for workers and supporting industries.

The closure of Tiwai Point smelter is expected to impact on 2600 jobs and make a huge dent in the regional economy, of about $500 million.

Westpac NZ’s August 5 Economic Bulletin reported $500 million "is equivalent to 10% of the region’s GDP or 0.2% being shaved off New Zealand’s GDP" but added: “The actual loss is, however, likely to extend much further.’’

The Westpac bulletin said the closure would wipe about $1.2 billion off New Zealand’s exports and “with Southland looking straight down the barrel, the Government has an essential role to play in ensuring a smooth and ‘just’ transition, with jobs top of the agenda. Potential new industries include green hydrogen production, data centres and electric vehicle manufacturing – there are likely to be more.’’

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Mr McAra said aquaculture and farming were obvious issues to talk about with Mr Parker, “because he is the Minister for the Environment and has a role to play in how Southland moves forward in the strategy around aquaculture’’.

The stumbling block for aquaculture at the moment was the lack of legislation to help set it up quickly, he said.

Mr O’Connor said he’d prefer not to preview the meeting with the media because the Southland Aquaculture Working Group was keen on a one-on-one chat with Mr Parker first.

However, he confirmed new legislation was needed, rather than amendments to the Resource Management Act, if aquaculture opportunities were to move forward in a realistic timeframe and take advantage of opportunities being made available in the post-COVID-19 environment.

In July, Regional Economic Development Minister Shane Jones announced an $8 million loan from the Provincial Growth Fund to Sanford Ltd.

The loan will enable Sanford Ltd to begin the first stage of work on a land-based salmon hatchery at Ocean Beach in Bluff.

Mr McAra believed up to 50 people had signed up to the breakfast with Mr Parker so far.

Mr Parker is expected to speak about the importance of trade to New Zealand’s economy and how trade can grow regional economies by expanding markets, increasing investment and creating new jobs, plus the challenges facing the sector due to COVID-19.

The event includes a question and answer session for chamber members, a media stand-up and a visit to Transport World.