Topics: Business, Fashion, Kawe Kōrero

Māori fashion designers to benefit from Govt's Amazon Tax Bill

By Kawekōrero

Founding Director of Miromoda believes Māori fashion designers will benefit from the Government's proposed Amazon tax bill. The proposal will make foreign firms levy GST on items bought online from overseas valued at less than $400. Although the threshold will be less for clothes and shoes shipped into New Zealand from overseas, few believe it will have a huge impact on online purchases.

Ata Te Kanawa, Founding Director of Miromoda Māori Fashion Apparel Board told Kawekōrero, "I'm not sure 15% tax will make that much of a difference, especially to girls who see it, want it, need it, no don't need it but still want it mentality."

The proposed bill is expected to kick in October 2019 and Prime Minister Jacinda Ardern told media it's designed to make the tax on shopping fairer. A Marketview report conducted in 2017 showed that online retail spending at offshore sites was up 21 percent last year, and there's been a strong growth in demand from New Zealand for high-end British fashion. The Kiwi dollar is also up making goods cheaper for New Zealanders to buy from overseas. But Te Kanawa agrees that while online consumers may not support the Amazon tax bill, local designers will use the opportunity for an opening in the market and will benefit greatly from such a law.

"It's good for our Māori designers because a lot of them can only afford to be doing smaller numbers." She went on to say, "Even with the whole approach to green a lot of people are looking locally anyway."