CSB - Phil O'Reilly - Business Time

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Episode Transcript

Speaker 1 (00:00):
A country sport breakfast with Brian Kelly on gold Sports.
Business is business. I'd like to get down the business
you your business Managing director of Iron Duke Partners, Phil
O'Reilly joins this morning, fell. I hope you are well
in the capitol.

Speaker 2 (00:21):
I'm well in Auckland today. It's a pretty cold day
up here, I said, but it reminds me of the
capital a bit. The weather Auckland today.

Speaker 1 (00:27):
All right, well, let's get stuck into it. Three things
to talk about today, as we normally do. First up,
the latest trade numbers are out. Both the exports and
imports fell, which is in great news, but some bright
spots I gather for the rural sector.

Speaker 2 (00:42):
Yeah, quite an interesting set a number of this year.
This is a classic example of the state of the
economy that we're in right now. Imports fell and unsurprisingly,
motor vehicle imports for example, fell and alarmingly, you know,
nobody's buying your car and the economies are sick, and
you saw that throughout the border. So New Zealand's ending
power down and therefore inputs down. But more worryingly in

(01:03):
terms of a potential recovery is exports were also down,
particularly some exports in rural type products like sheet meat
and beef and so on all fell, and that's because
of the weakness of overseas market. They're not necessarily buying
our stuff. But some bright spots they are fruit ki
fruit in particular. That's good for the good people of

(01:24):
Towering On Tooking and someone would pulp and so on.
A few things going quite well, and you know some
own goals. Of course, our exports of aluminium were down
because of course we close down t y because of
the power crisis, so you know, set some self inflicted
woms in the economy. But you know, this was an
extraordinary story of an economy that's sick but surrounded by

(01:44):
export partners who were also not doing well. So just
says I think we've got.

Speaker 1 (01:48):
A lot more pain to go yet, absolutely another positive
for the another positive for the eggit recent rapports tell
us that dairy production so farther she year is high
than normal. So will we see it for more as
well going up?

Speaker 2 (02:04):
This is actually a good story. August August volumes were
up ten percent according to the Dairy Companies Association, and
July was also up nearly ten percent. Now that's a
good start for the season, and it shows that the
Fonterra lever bit of five pound to get out there
the track causes they might be selling more product into
a weaker set of market. So there's no guarantee that
Fonterra's prices also rise as a result of it, but

(02:26):
it's going to be a good start, a good growing
year for farmers and the dairy sector. And I saw
some twern Neck on the weekend grot. You can hear
the grass growing at the moment in tarer Neck, some
good healthy cows out there. I can see what it's
all going on. So good news for the dairy sector
in the terms of a volume, and obviously I'll hope
that Fonterra gets that away at a good price and
the war gives a bit of money back to the

(02:47):
dairy sector that little desperately needed right now.

Speaker 1 (02:49):
And the Global Dairy Trade Auction is another one coming
up next week. I think it isn't that's just the
little rises all the time, which is great.

Speaker 2 (02:55):
Yeah, that's good, so there's not falling over that's the point.
I mean, if you're selling more volume and the prices
and going down, well that's good. That's great. It's good outcome. Yeah.

Speaker 1 (03:04):
Absolutely. Our Finance Minister, Nichola Willa, she's trying to get
more Wellington bureaucrats back in the office, getting them there
how they can support local business. What's your take.

Speaker 2 (03:14):
On that one, Well, yeah, this is more of a
city story, I know for some of your some of
your listeners. But I thought it was an important story
and I think it's a very important thing that the
minister's doing and fully backed by the Prime Minister. I
think they're absolutely race. The numbers that you speak speak
to the truth here. There was some incre some productivities
put workers from home during COVID, but those productivity gains

(03:34):
really got the data around the world. Those productivity gains
have gone away, and no wonder because factors that work
as are humans, they work best when they work together.
You know, we're a tribal kind of species, if you like.
We get a lot from working together. And you just
can't be that when you're sitting in your pajamas in
your bedroom on a zoom call. And I understand that

(03:55):
some people may need to do that and don't criticize
the need for some flexible working, but you know, I
just think, you know, the old ways are the best
to you. You do actually get a more productive work wills
and by the way, I think mental health improves, and
all those other good things that come from working together
with people actually also improve that. One of the biggest
reasons people find jobs satisfactory is they get an idea

(04:18):
of doing something bigger than just themselves. They contribute to
something larger than just themselves. All the research around well
tells you that it's best to do that when you're
in the office. So I think the government's got is right.
Particularly might a see BK young people, your own person
listening and you absolutely want to turn up because the
bosses can see you. They're going to actually ask you
to do things for the moment. That's how you get ahead.

(04:39):
So I think the government's don't exactly the right thing.
And I hope other employers, local councilors and businesses and
so on will follow their lead, not forcing people back,
but saying look to this time. You need to spend
enough time in the office as you get on and
make yourself work productive and by the way, improve your
mental health. An I certainly will.

Speaker 1 (04:56):
You travel a globe in your line of business, What
are other countries doing the working from home or they
were back in the offices.

Speaker 2 (05:02):
Well, largely that the trend is going back to the office, mate.
It's you know that you're seeing this playing in different
ways for different businesses. You saw Amazon just the other
day require workers to go back to the office five
days a week, a big tech company doing that, and
you're seeing that play out in all sorts of ways
with bigger businesses because everybody's realizing just exactly what I've
told you that, yes, flexibility is important, but not working
from home the whole time, because we're certainly not enough

(05:24):
always a week, whatever it might be, because that does
actually get in the way of productivity. It also get
any mental wealth. So you're seeing a return back in
variouss and forms to exactly what the minister was talking
about today. So you know we're following the world, not
leading it here and doesn't say it's a wrong idea, Well,
I just disagree. I think it's a great idea, not
even mainly to help the businesses and wanting times will

(05:44):
unless you helped those workers become you know, mentally healthier
and more productive.

Speaker 1 (05:50):
Yeah, makes sense mate. Hey, good to catch up, Phil.
Enjoy your day in Auckland. Thanks so much. Thanks Big
Hillo Riley, business time, managing director of I Juke Partners