Deloitte: NZ Space Economy worth $1.69 Billion
A new report by Deloitte has outlined the direct and indirect contribution the NZ Space Economy has added to the overall NZ GDP.
A new report tabled by Deloitte Access Economics has outlined the contribution that the NZ space industry has made to the overall New Zealand (NZ) company, valuing the contribution to the country at $1.69 billion over the 2018 – 2019 period.
The report, commissioned by the Ministry of Business, Innovation, and Employment (MBIE) engaged Deloitte to map out the various stakeholders across NZ’s space industry and estimate the direct and indirect contribution stakeholders made, in addition to the employment metrics from the sector. It indicates that the NZ space economy is almost entirely driven by commercial activity.
The space economy in NZ engages a number of different stakeholders that utilise access and use of space, the development and application of space-based products and services across both the public and private sector.
Analysis of the survey indicates that:
- The NZ space economy is New Space driven – made up of a mix of start-ups and established (small and large) entrepreneur-driven businesses, providing a range of services to the public and private sector. This was found to be in contrast from other space-established nations who have major drivers from their respective government bodies
- The NZ space economy has strong Space Manufacturing and Space Applications sub-sectors, in addition to very strong University-led R&D capabilities that are both locally and globally recognised and integrated with up and downstream supply chains
Sub-Sectors of the NZ Space Economy
The NZ Space Economy can be broken down into six sub-sectors that both contribute and return value to the overall NZ economy:
- Space Manufacturing (revenue: $247M) – Designing/Manufacturing of space equipment
- Space Operations (revenue: $150M) – launch/operation of satellites and/or spacecraft
- Space Applications (revenue: $1,007M) – Utilisation of satellite signals and data
- Ancillary Services (revenue: $221M) – Provisioning of specialised services
- Research and Development (revenue: $119M) – space research/development
- Government (revenue: $10M) – regulatory, policy-making and legislative oversight
The space economy in NZ is growing fast, even though it is relatively new – with commercial drivers working in conjunction with a lower-regulatory framework that is evolving as part of the iterative and learning model.
In 2018-2019 NZD 897M was value added by the businesses (direct contribution) in the NZ space economy to the NZ GDP. In the same period, NZD 789M was value added by the space economy’s expenditure on goods and services (indirect contribution) used in production processes, and overall, the NZ space economy supports an estimated 5,000 full-time positions (FTEs), but expands to approximately 12,000 FTE when including related supply chain stakeholders.
Read the full report