See what 2degrees business can bring to the table From 01.03.22 – 31.05.22. Credit applied at time Licence fees are included in your Bill. One Credit per Account. Credit repayable if you terminate Licences within 12 months. FOR KIWI BUSINESS
COVER STORY <strong>October</strong> <strong>2022</strong> BAY OF PLENTY BUSINESS NEWS 3 Port battling ship scheduling Challenging labour conditions, capacity issues at Ports <strong>of</strong> Auckland, and Covid have all played into continuing scheduling issues at Port <strong>of</strong> Tauranga, with expectations delays will not be fully sorted until early next year. By RICHARD RENNIE Data on global shipping to July indicates an uplift in shipping reliability after months <strong>of</strong> poor performance, with reliability levels now at 41% compared to barely 30% a year ago. This still compares poorly against pre-Covid global figures <strong>of</strong> 75-80%. But logistics and freight company Kotahi’s latest shipping summary has Port <strong>of</strong> Tauranga, along with all other major ports in New Zealand recording a slide in shipping reliability. It reports all ports recording severe congestion, driven by weather events, vessel ‘bunching’ and lower levels <strong>of</strong> labour due to Covid infections across the country. Overall, the effect has been to push New Zealand ports backwards in their scheduling reliability compared to the rest <strong>of</strong> the world. Tauranga fell from a relatively consistent 50% schedule reliability for much <strong>of</strong> the year, to below 40% for July. Auckland, Napier and Lyttelton all recorded rates lower still, with Nelson the only exception for increased reliability in July. Port <strong>of</strong> Tauranga chair Julia Hoare noted the issues the port continues to focus on when announcing its annual results in early August. She pointed to 65% <strong>of</strong> ships still arriving <strong>of</strong>f-schedule and continuing delays in other parts <strong>of</strong> the New Zealand supply chain. “Supply chain disruption continues to have a massive impact on our ability to deliver an efficient service for importers and exporters. We have done our best to incentivise smooth cargo flows and the financial results reflect that,” she said. Vessel delays at Tauranga have increased to up to five days, and a port spokesperson said <strong>of</strong> the 16 vessels arriving at Tauranga each week on average only six are on time, and these are the ones calling direct to Tauranga. “Ports <strong>of</strong> Auckland has said it expects to get back on schedule from March 2023, so we are hopeful we will return to better schedule reliability in the second half <strong>of</strong> the financial year,” she said. The Port <strong>of</strong> Tauranga reported an increase in group net pr<strong>of</strong>it by 8.7% to $111.3 million while paying a total dividend <strong>of</strong> 14.7c a share, up from 13.5c the year before. CEO <strong>of</strong> Kotahi David Ross said Auckland’s efforts to lift its operational capacity were a key to the entire country’s improvement in shipping scheduling. “And Auckland is signalling their intention to be there by March, and everyone should be 100% behind that intent as it is good for NZ’s entire operations.” The problems with port reliability have been heightened by issues around Maersk’s Coastal Connect Supply chain disruption continues to have a massive impact on our ability to deliver an efficient service for importers and exporters. We have done our best to incentivise smooth cargo flows and the financial results reflect that.” – Port <strong>of</strong> Tauranga chair, Julia Hoare domestic shipping network. Issues around weather in Australia and challenges portside here have meant the vessels due to participate have been delayed, with improvements unlikely until November. Hoare also pointed to delays in resource consent for an additional container ship berth as contributing to efficiency issues. Despite detailed planning and consultation beginning almost four years ago the port was unsuccessful in getting its application fast-tracked under government Shovel Ready projects during the pandemic. A delayed Environment Court hearing is scheduled for early March next year. “It is incredibly frustrating after years <strong>of</strong> consultation and planning to be still ‘on hold’. Had we not had these delays, we would be finishing construction now,” said Hoare. Port <strong>of</strong> Tauranga Chief Executive, Leonard Sampson, says the Port’s diversity <strong>of</strong> cargoes and long-term freight agreements with key customers has given some certainty through extremely challenging times. “We are looking forward to a longer-term solution in the form <strong>of</strong> additional capacity at the container terminal, and soon at the Ruakura Inland Port that we are developing in Hamilton in partnership with Tainui Group Holdings.” The inland port, part <strong>of</strong> the Ruakura Superhub, is due to open in late <strong>2022</strong> and will connect Waikato importers and exporters with the “big ship” services calling only at Tauranga. Take control <strong>of</strong> your future. Buy your own business. 0800 225 999 LINKBUSINESS.CO.NZ High Performing Manufacturing $1,700,000 <strong>Bay</strong> <strong>of</strong> <strong>Plenty</strong> · Reliable income, great return on investment · Established business, skilled staff · Generous handover period · Superb location · Provide services to an industry sector with continued growth Chilled Distribution Run $1,145,000 <strong>Bay</strong> <strong>of</strong> <strong>Plenty</strong> · Working owners pr<strong>of</strong>it nearly $300k in <strong>2022</strong> · Robust systems, great brands & marketing support · Growing territory, divrse clientele · Strong franchise system behind it Successful Manufacturing $895,000 <strong>Bay</strong> <strong>of</strong> <strong>Plenty</strong> · Provides sought after, quality products · Residential and commercial clients · Owners earnings $340k in <strong>2022</strong> · Ideally located for future growth linkbusiness.co.nz/BOP00510 Mike Fraser 021 932 633 mike.fraser@linkbusiness.co.nz linkbusiness.co.nz/BOP00528 Theresa Eagle 021 289 0949 theresa.eagle@linkbusiness.co.nz linkbusiness.co.nz/BOP00514 Steve Catley 021 341 117 steve.catley@linkbusiness.co.nz Patented Manufacturer $1,625,000 Tauranga · Specialised equipment for food processing · Great reputation, forward orders, niche market · Revenue $1.5m+, pr<strong>of</strong>it $400k+ · Suit engineering or electrical background Plumbing <strong>Business</strong> $595,000 Tauranga · Skilled & experienced staff · Large quantity <strong>of</strong> confirmed forward work · Excellent systems and procedures in place · Loyal clients & good supplier relationships Highly Pr<strong>of</strong>itable Eatery $399,999 Tauranga · $80k cash surplus first 4 months <strong>of</strong> 2023 FY! · Continuing increase in sales & pr<strong>of</strong>itability · In a prosperous gorwing suburb · Quality assets, strong lease linkbusiness.co.nz/BOP00486 Steve Catley 021 341 117 steve.catley@linkbusiness.co.nz linkbusiness.co.nz/BOP00525 Steve Catley 021 341 117 steve.catley@linkbusiness.co.nz linkbusiness.co.nz/BOP00497 Theresa Eagle 021 289 0949 theresa.eagle@linkbusiness.co.nz Asian Restaurant In CBD Location $365,000 Tauranga · Prime location, reasonable rent · Top quality chattels, stunning fit-out · Current turnover $300k & growing · Seating for approx. 65 indoor/outdoor linkbusiness.co.nz/BOP00509 Peter Redward 027 492 0453 peter.redward@linkbusiness.co.nz Mobile Hydraulic <strong>Business</strong> $198,000 Whakatane · Fully equipped & is mobile with all the tools · Can be operated by one person, or opportunity to expand · Can be run <strong>of</strong>f-grid, with a solar panel & generator · You’ll be buying mainly assets, incl equity $60k linkbusiness.co.nz/BOP00506 Ray Owens 027 840 9274 ray.owens@linkbusiness.co.nz Exclusive Spa Range $330,000 New Zealand · New innovative range developed by renowned cosmetic scientist · 11 unique products · IP, concepts, business plans included · Exciting start-up opportunity linkbusiness.co.nz/BOP00520 Lisa Lloyd 027 685 4556 lisa.lloyd@linkbusiness.co.nz Long Established Signage <strong>Business</strong> $103,000 Tauranga · Established in 1987, currently owner operated · T/O $116k, Pr<strong>of</strong>it to working owner $63k+ · Good premises, central Tauranga location · Large database <strong>of</strong> long term clients linkbusiness.co.nz/BOP00512 Grant Jacobson 027 454 0432 grant.jacobson@linkbusiness.co.nz Must Love Dogs! $200,000 Thames-Coromandel · Super dog grooming facilities · Wonderful play areas for day stays · Puppy training & socializing · 6 qualified grooming & caring staff linkbusiness.co.nz/BOP00518 Carron Chote 027 289 6658 carron.chote@linkbusiness.co.nz Volume Based Hair $75,000 <strong>Bay</strong> <strong>of</strong> <strong>Plenty</strong> · 30 years + operation, loyal customer base · Experienced staff, 4 cutting stations · Weekly Rental $195 + GST & Opex · Superb location, plenty <strong>of</strong> parking linkbusiness.co.nz/BOP00511 Carron Chote 027 289 6658 carron.chote@linkbusiness.co.nz All LINK NZ <strong>of</strong>fices are licensed REAA 2008