Used boat market story

[floatsome 0]

http://www.nzherald.co.nz/business/news ... d=10681074

 

I guess this confirms the rot has set in, or has it?

[Guest]

Old news isn't it, started years ago.

[Murky 1]

Often in these situations, by the time the mainstream media get around to covering it, the next phase is already well on its way.

[wheels 543]

A version of that article pops up every couple of years and Ian Franklin always seems to one of the ones that is crying about it. Not saying it isn't justified. But then, he also came into Waikawa many many years ago now and got work buy undercutting everyone. So????

The thing is with these imports is, they have been coming in for a long time now and will continue to as long as they meet the a need. The damage is done and no one is ever going to change that now. So instead of these guys whining about it, they have to look at how they go forward. Don't ask me, i am no expert in this. These guys have been in the game all their working lives. They are the ones that should have the answer or at least the experience to try and find an answer. One of the big problems NZ manufacturers have is that they are slow to change. They don't look at how to evolve and keep pace with their market. They turn up to work everyday expecting the same thing to happen and as they say, the definition of insanity is doing the same thing over and over, each time expecting a different result. Marine is no different to any other industry. All industries face the same thing and those that have survived are those that have made the changes required.

This issue is going to get worse for the new boat market as long as wages and all other expenses increase and our Dollar increases in strength.

[Guest]

The only new thing in there for me is that it is also starting to affect fizzies, who cares?

[Guest]

and a lot of the nasty fizzies coming in are designed as lake boats with shallow or moderate V's. Not really that great for NZ sea conditions or even some of the lakes for that matter.

 

Mum likes the inside cos its flash so she signs it off when the reality is they are probably way better off (performance and safety) with an NZ designed and built deep V boat that doesnt have acres of plastic wood inside.

[Guest]

There is a showroom set up in the new Seaview complex that is selling new import fibreglass fizzies and big RIB's from China.

This could be the start of the end for NZ manufacturers. They will still have the advantage of being semi-custom though.

I've not looked at them other than from walking past the doorway, but they are apparently OK buildwise.

Don't know about pricing either, but it is sure to be sharp.

[Guest]

There is more than just that one Slacko. More by the day.

 

Some boats are knot that shabby but a few are. Many tend to have some pretty budget gear on them though. Look the part now but in 5 years????

[wheels 543]

The American boats look shaby after five years. The Chinese ones will be even worse. I reckon Kiwi biulders could build for similar prices if they wanted to lower their quality....dramaticaly, but that will eventually come back and bite them.

[floatsome 0]

Granted we dont quite have the labour costs - of at least the French, yet, I would say our biggest challenge is the geographical one, especially once large volume boats are made and getting them to markets on the other side of the world. The only eport industries that do this well are our mass produce ones broadly speaking. Sure there are some niche industrys but I am struggling to think of a parallel industry to production boats in NZ that has conquered this issue? Most production boats can not be containerised which is a major shipping challenge these days.

[wheels 543]

I have a friend bringing a boat down from the US at the moment.It is sitting on top of the containers on a Ship. Freight cost is $70K.

So sending the other way I imagine would be similar costs. But I alkso assume that cost would be on an mas produced import. So what I don't understand is why NZ biulders do not produce similar to those mass produced imports here, so Kiwis can have a choice to buy direct form NZ. But then, I am no expert and there must surely be a very good reason why, or I would imagine someone would be doing so. Good Kiwis businessmen are usually pretty quick at spotting an opportunity. I am assuming that there is simply not a big enough internal market to support a mass production in a scale big enough to see some dramatic reduction in cost.

[Brett Bakewell-White 0]

A major issue here is that the frieght is a double whammy! The only New Zealand compnent in boats is labour, plus maybe a few sticks of timber. So this means that to build the boats we first have to import (pay the frieght) on all of the equipment and materials, we then assemble the boat and then you have to ship it all back out again. Freight is a killer for our industry in terms of lower cost boats.

 

I am pretty sure that the Weta is built in China??

[Guest]

I'd like to know why kiwi manufacturers aren't competing for exports. I've been to boat shows all around Europe including London, Dusseldorf and Southampton. The only kiwi product I've seen is the excellent Weta. Why are kiwis not mass manufacturing yachts.

It's knot unknown, actually it's more 'reasonably common', for the local builders to have to spend $50K just to do a bigger show in NZ. So to show just one boat in the EU could eat 100K very easily, a pile more if it doesn't sell and you have to bring it home.

 

Geography hence freight costs are the killer for NZ.

[Guest]

Got a quote from 'Dock wise' last Wednesday to bring a 37' Jeanneau from Florida to Auckland, on their 'Float on, Float off' ship. NZ $41,500.00 at current exchange rate.

I thought this was very reasonable, makes the deal very worth while, and company was very helpful.

Quite different to 'Wheels' $70,000.00

'Hakes Marine' here in Wgtn have just launched a beautiful 52' Humphries designed yacht, they took her from the drawing board to the water. It is living testiment to quality Kiwi workmanship.

The gentleman who commissioned her lives in Britain, and will take her back there once sea trials are completed.

It is obviously commercially viable to have this vessel made in NZ, and as he had the option of any boat builder in the world, Hakes Marine in Wgtn, NZ must have a great global reputation.

[wheels 543]

Yeah that is a big difference. Although this boat is 43ft, I can't see that doubling the cost. But it ain't my problem.I can only assume the guy looked at the best way to suit him.

Does the 43K cover everything??? Insurance and duties and what have you?

 

I have a friend that has just had a Silene (spell?) biult up in China. NZ$2,5mill and it was a huge saving on what it would have cost if biult here. They took many trips back and forth to ensure all was to spec. All timber is solid Teak. It has everything and is in survey for charter. That has had to get, but they got it. I really can't fault the workmanship, but there is just something missing. I just can not put my finger on it. Maybe it is just that all the coatings are Flat finish and lack that Gloss. Some like that. But to me, it just feels lacking in life from the finish. Of course, it could be that being a Stinkpot, it has no Sole

[Guest]

Yes, the NZ $41,500.00 does include insurance.

Duty and GST will have to be paid once she gets here. I will have to contact our friend 'Pales' to sort out the Customs side of things further down the track.

I have worked out Duty and GST based on what he told us in another thread.

Yes Wheels, I agree, I think my current baby, a Farr 1020, has far more 'soul' than any European prodution boat.

If I had the money, I would definately buy NZ made - but I don't

[khayyam 77]

one-off shipping rates are not representative of the costs incurred on a mass-production basis. as was pointed out, if you can afford to import boats, you can afford to export them.

 

that said, what NZ needs is *high-value* manufacturing, not the low-end mass produced stuff.

[floatsome 0]

I think its important to distinguish between custom and production. Our customs boats will always be sought after whether they be super yachts or fizzies,

produstion boats are another story, It would be interesting to hear the McDell marine story and why they pulled the pin on the Oyster yachts they were building.

[Guest]

The European manufacturers are popping yachts out of the mould at a high rate to supply their own market. The ones that come down here would barely rate on their sales charts. For us to compete we have to ship every single unit at that 50K plus cost and compete in a market that probably is barely able to discern the quality difference.

They have quality product available in Europe as well, so our stuff would still have that freight component to battle against for sales against these well regarded long established quality manufacturers.

 

With regard to the cheap Chinese fizzies, how many of the average punters looking for something to chase fish and drag his kids around the harbour are able to tell the difference?

 

There is that brand that is manufactured in Whangarei I think that always have blue hulls. Lots of bling varnish and bronze bits.

They are mostly 40 foot day sailers that go to the US market.

[Murky 1]

There is that brand that is manufactured in Whangarei I think that always have blue hulls. Lots of bling varnish and bronze bits.

http://www.friendshipyachts.co.nz

 

Think they have found the recession hard going.