The New Zealand screen community is now one of the country’s most significant contributors to the economy.

The New Zealand screen community is now one of the country’s most significant contributors to the economy.

A report by New Zealand’s leading financial services firm PwC (PricewaterhouseCoopers) - Economic Contribution of the New Zealand Film and Television Industry 2012 [PDF], indicates that the industry generated more than $3.23 billion in revenue in 2011.

Gross earnings increased 4% since 2008, when PwC previously assessed the industry.

The sector’s total contribution to gross domestic product (GDP) was $2.78 billion, representing 1.4% of New Zealand’s total GDP.

The sector also compares favourably with the New Zealand wine industry, which made a contribution to GDP of $1.52 billion in 2008.

The film and television sector supported 21,315 full time equivalent positions in New Zealand in 2011, both directly and in associated services and businesses. 10,284 New Zealanders were directly employed in the sector, up 7% since 2008.

Film production provided a large share of the overall impressive result: earning $1.4 billion in gross revenue, delivering a direct GDP contribution of $575 million.

Pete Rive, Chairman of Film Auckland who welcomed the study, said the report is an opportunity to both recognise and celebrate New Zealand’s screen community: “Through the collective skills and talents of many New Zealanders, we have built a global brand recognisable for its success in creating and producing world class content – including recent productions such as Spartacus, Mr Pip, Emperor and The Hobbit.

“It has long been apparent that our industry contributes substantially to the economy in both real dollars and intangible benefits such as tourism, and the promotion of the New Zealand brand as a land of innovation and creativity. As the biggest production center, Film Auckland is proud to be associated with this report,” he said.

“In addition, this report validates the work of more than 21,000 New Zealanders who are the bedrock of, and are supported by our screen industry,” Mr Rive added.

Grant Baker, Managing Director of Images & Sound, one of New Zealand’s largest providers of post-production facilities said: “It would be hard to imagine what our society would be like without screen entertainment: In purely economic terms, it is a substantial contributor to our economy, as this report makes clear – but culturally, it’s much more difficult to put a price on it. This is an important study for understanding how our business has grown, how many jobs it supports, and how we contribute to New Zealand’s economic and cultural make-up. The fact that the economic contribution made by our talent is twice the amount of the wine industry is phenomenal.”

Rick Friesen, Chief Executive of Think TV, an advocacy group for free-to-air television, said: “Our screen industry is an adaptive and fast moving sector which innovates and creates sustainable careers and jobs. I’m excited by the economic value this report ascribes to our industry, particularly the TV sector, which I believe has the opportunity to develop even further.”

Michael Hawkins, Executive Director of the National Association of Cinema Operators (NACO) for Australia and New Zealand, said: “New Zealand’s cinema operators welcome this timely report that recognizes the economic contribution our businesses make to the local economy. Our cinemas are focused on providing an exciting and satisfying movie-going experience, incorporating the latest in digital technology and delivering the highest quality entertainment on offer. Now is the time to improve legislation involving online infringement of films and television shows that will not only protect our substantial existing industry, but will allow ideas, creativity and business to flourish to their full potential over the next decade.”

Tony Eaton, Managing Director of New Zealand Federation Against Copyright Theft (NZFACT), said: “While we’re all very much aware of the great quality content produced in this country, it’s important that we are now able to quantify just what our screen sector contributes to the country in economic terms. This is the reason why we are so committed and dedicated to promoting and protecting our industry.”

Key findings of the PwC Economic Contribution of the New Zealand Film and Television Industry Report include the following:

• The sector generated a total output of $3.233 billion, rising 4% since 2008
• The sector contributed a total of $2.78 billion representing 1.4% of GDP
• The total sector supported 21,315 full time equivalent jobs

Media Release: NZFACT