The Murupara project and industrial development in New Zealand 1945-65.

In New Zealand, after the Second World War, the share of manufacturing in GDP rose relative to the share of agriculture. Although the government lacked a clearly articulated industrial policy, it was increasingly drawn into the promotion and support of firms in manufacturing. The Murupara pulp and paper scheme was the most spectacular instance of state intervention in the first two postwar decades. Tasman, the company set up to operate the pulp and paper mill, was a joint venture between the state, a New Zealand construction firm called Fletchers, and British multinationals. Tasman soon became New Zealand's leading exporter of manufactured products. The need to secure the market for Tasman's newsprint exports was one of the main reasons for the negotiation of a partial free trade agreement between New Zealand and Australia in 1965. This article explains the early history of Murupara, and discusses its contribution to industrial development and diversification in New Zealand. [ABSTRACT FROM AUTHOR]