"The innovation policy released by the Government is the best single action that could be taken to grow high-tech manufacturing and services in New Zealand," he said.
Prime Minister John Key said Industrial Research Ltd would be turned into an advanced technology institute that would function as the high-tech HQ.
New Zealand's world-leading performance in the primary sectors had been off the back of world-class science, much of which was publicly funded, he said.
The Government's top priority, as recommended in the Powering Innovation report released yesterday, was to transform and grow IRL by focusing it on supporting industry development, he said.
In the next five years, it was planned IRL would double in size and capability, transforming into an advanced technology institute with up to 700 staff with a far greater reach that at present, Mr Key said.
The institute would have facilities in Auckland and Christchurch and would retain the existing Gracefield facility in Lower Hutt.
