Every time State Highway 2 closes through the Waioweka Gorge, New Zealand loses an estimated $8 million in GDP. Every single day. That is not a statistic to file away — it is a bill that the Gisborne region, and the rest of New Zealand, keeps paying over and over again.

Last week’s Budget included a welcome $400 million for state highway resilience, with both the Waioweka Gorge on SH2 and the Awakino Gorge on SH3 explicitly named as priority projects. National Road Carriers is genuinely pleased to see this — it reflects our sustained calling for the Government to treat these routes as the nationally significant freight corridors they are.

But let’s be clear: $400 million spread across multiple vulnerable routes nationwide is a down payment, not a solution. SH2 alone has already been fully closed for 24 days this year — and it was proactively shut again just this week ahead of heavy rain. Research commissioned by Trust Tairawhiti puts annual disruption to tradeable GDP at $190 million. When the gorge closes, the detour via SH35 or SH5 adds at least three hours and hundreds of extra kilometres to every freight run — burning diesel, driver hours, and customer commitments along the way.

Think about what moves through that corridor. Gisborne and the East Coast are serious food-producing regions — wine, forestry, horticulture, meat. That product needs to reach Auckland and the upper North Island fresh and on time. When SH2 closes, it doesn’t just inconvenience motorists. It disrupts supply chains, inflates costs, and quietly undermines the competitiveness of an entire region.

Here is the question the Government now needs to answer: when the choice is between building new roads and keeping the roads we already have reliably open, which delivers more value? My view — and NRC’s view — is that resilience must come first. A new road is worth little if the existing network keeps failing. The Budget’s $400 million signals that the Government is starting to understand this. The next Budget needs to back that signal with the scale of investment these routes genuinely require. We cannot keep patching the Waioweka and Awakino gorges after every weather event. It is time to make them weather-proof.

Jim Ramsay - NRC were saddened to hear the passing of MOVE Logistics Group founder and former managing director Jim Ramsay and extend our sincere condolences to the family, friends, and colleagues. Jim made an outstanding contribution to New Zealand’s road transport and logistics industry over many decades, earning the respect of those across the sector through his leadership, vision, and commitment. In 2011 he was awarded the Supreme Mayoral Award for Business Excellence in his home town New Plymouth and in 2013 he was inducted into the NZ Road Transport Hall of Fame. His legacy will continue to be felt throughout the industry, and he will be remembered for the significant impact he had on road transport.

Upcoming events

On Thursday 18 June, NRC is hosting a Breakfast Forum for Bulk and Civil Transport Operators at the Remuera Club.  Members and non-members are welcome to attend this industry-focused event, designed to bring operators together, strengthen industry connections, and provide a platform to discuss the issues and challenges that matter most to your business. Attendees will hear from a panel of industry representatives who will share updates and insights on key developments, emerging challenges, and topics impacting the transport sector. There will also be opportunities to ask questions, share perspectives, and connect with fellow operators over breakfast.

I’m looking forward to meeting face to face with lots of our members at the upcoming 90th Annual NRC General Meeting, being held Friday 26 June from 5:30pm at the Jet Park Inn out by Auckland Airport. This is a great opportunity to network with fellow members from across the industry, and hear how NRC is working to serve your business and support a thriving freight and supply chain industry.

Coming up on 1-2 July is the Aka Raupapa National Freight & Supply Chain SuperHui event at the University of Waikato. I’ll be on joining a panel discussion on “Reimagining New Zealand’s supply chain: Productivity, resilience and prosperity for the decade ahead.”

Supply chains in Aotearoa New Zealand face global disruption, climate pressure, and infrastructure strain. National Road Carriers encourages members to come along and support this inaugural event – one that will bring together industry, iwi, and government - to drive long-term solutions for resilient supply chains.

Justin Tighe-Umbers, Chief Executive, National Road Carriers Assn