Story: Government and industrial development

Bonuses for iron and steel

Bonuses for iron and steel

The government offered bonuses for iron and steel in 1872, but it proved difficult to extract iron ore from ironsand, the most abundant raw material in New Zealand. Almost a century later, state-funded research finally resolved the technical problems. The government set up New Zealand Steel, retaining 25% of shares in the business. In the 1980s the government funded a substantial extension of New Zealand Steel’s Glenbrook mill, costing almost $2 billion, and increased its shareholding in the business to 89%. Later that decade the company, whose markets were no longer protected from competition, was sold to private interests for $300 million.

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National Library of New Zealand, Papers Past
Reference: Wellington Independent, 20 November 1872, p. 2

Permission of the National Library of New Zealand, Te Puna Mātauranga o Aotearoa, must be obtained before any re-use of this image.

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How to cite this page:

Megan Cook, 'Government and industrial development - Encouraging industry from the 19th century', Te Ara - the Encyclopedia of New Zealand, http://www.TeAra.govt.nz/en/photograph/25850/bonuses-for-iron-and-steel (accessed 18 September 2019)

Story by Megan Cook, published 11 Mar 2010