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68. The fiscal implications of the proposed service range and a new output class and other expense structure are detailed in the companion papers: Paper 5 - Transition Costs² and Paper 6 - Accountability Framework.³ With the exception of the 2003 Budget Bids and the integration costs, all proposed changes to the service range in 2003/2004 will be fiscally neutral.

69. NZTE's Board has estimated savings of $2.700m (GST inclusive) being generated per annum as the result of the integration, with further additional savings also anticipated but yet to be identified. It is proposed that a proportion of these initial savings be applied in 2003/2004 to integration costs and potentially in 2003/2004 and outyears to enhanced delivery of existing services. Officials from MED and MFAT, in consultation with the NZTE Establishment Board and the Treasury, will report to the Ministers of Finance, Industry and Regional Development, Trade Negotiations and Associate Foreign Affairs and Trade by 30 May 2003 on an update of integration costs and savings and options for how on-going savings should be applied in 2003/2004 and outyears (see Paper 5 - Transition Costs⁴).

²This paper is part of a suite of six papers on the new entity formed by the merger of Industry New Zealand and Trade New Zealand. Paper 5 - Transition Costs has not been published on this website as it was no longer current at the time of website publishing.

³This paper is part of a suite of six papers on the new entity formed by the merger of Industry New Zealand and Trade New Zealand. Paper 6 - Accountability Framework has not been published on this website as it was no longer current at the time of website publishing.

⁴This paper is part of a suite of six papers on the new entity formed by the merger of Industry New Zealand and Trade New Zealand. Paper 5 - Transition Costs has not been published on this website as it was no longer current at the time of website publishing.