Ross Campbell, acting director for Investment New Zealand in North America, says, "We are definitely seeing increased interest and investment in New Zealand from North American corporations, and the main reasons are our key location advantages. New Zealand is very cost competitive. A company typically can achieve a 50-percent cost savings over the U.S. in certain sectors such as research and development. There is also a genuine sense of innovation and the intangible of a can-do attitude. For many years, New Zealand was isolated from the major markets of the world, so the people had to come up with their own solutions for their problems."
      This same spirit of innovation drives growth in New Zealand in several industrial sectors, says Campbell. These include biotechnology, creative industries such as film production and digital media, food and beverage processing, wood processing, specialized manufacturing, and information and communication technology.
      "A great example is EDS out of North America," says Campbell. "Since EDS came here 12 years ago, they have grown to 270 people. EDS New Zealand is now one of four global subsidiaries of the parent company, and EDS has committed to adding 360 new jobs here over the next three years."
      Other recent gains in New Zealand include Pratt & Whitney and Protemix. Pratt & Whitney opened its new, state-of-the-art V2500 engine plant in Christchurch in December 2004. The V2500 project was initiated by a joint venture established by Air New Zealand and Pratt & Whitney following Air New Zealand's selection of International Aero Engine's V2500 to power its new Airbus A320 aircraft.
      "Christchurch offers a highly skilled work force, low business costs, an English-speaking environment in the Asia-Pacific region and a good education system," said Kurt Snyder, an executive with Pratt & Whitney. "Added to this, we are able to enjoy and open economy with a supportive central and local government."
      Protemix is one of several New Zealand-based pharmaceutical companies rapidly carving out a niche on the global stage. The company made headlines recently when it named former Eli Lilly executive Larry Ellingson as its CEO. Ellingson, who serves as chairman of the American Diabetes Association, is based in Protemix's new offices in San Diego.
      Protemix is known for developing the drug Laszarin, used in the treatment of heart failure in people with diabetes. Protemix, by establishing an office in Southern California, will be operated jointly in the U.S. and New Zealand.
      Campbell, based in New York, attributes much of New Zealand's newfound success to the attention the island nation received following the worldwide showing of "The Lord of the Rings" cinematic trilogy by Peter Jackson.
      "It's fair to say that New Zealand is substantially better known now than it was three years ago," Campbell says. "We are seeing an increasing awareness by North American corporate executives. Also, the fact that Australia just negotiated a free trade agreement with the U.S. may lead to a trade pact between America and New Zealand."