Executive Summary
2. The outcome of the review, and experience in Australia, suggests that New Zealand should maintain its current treatment of parallel importation and supports the findings of the previous review, reported to Cabinet in 2001. The review found that, to date, the probable gains to society as a whole of parallel importing exceed any observable detriments. The one possible exception is in relation to children's book publishing; however, the extent of the impact in this area is unclear.
3. The review also confirms previous findings that parallel importing has resulted in improved choice, and quality and timeliness of service to retailers and consumers through an actual or threatened increase in competition.
4. The review process has involved extensive consultations with creative industry stakeholders both by Network Economics Consultancy Group LtdPty ("NECG") in the preparation of the report, and subsequently in two rounds of consultations by the Ministry of Economic Development to seek comment on the report and its findings, and to elicit further information on whether outcomes predicted by stakeholders at the time of the last review have eventuated.
5. It is, therefore, recommended that the current treatment of parallel imports be maintained. Given the findings regarding children's book publishing, however, and other concerns expressed by the publishing industry about potential future developments, it is recommended that the impact of parallel importing on the creative industries generally be reviewed again, in conjunction with the review on the film ban, due to be completed in 2008.
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