The impacts of rising costs nationally and internationally were shown starkly in the results of the recent biannual Selwyn Business Survey, organised by the district council.
It was undertaken in August, and 107 businesses responded.
Eighty-four per cent reported increased costs.
In line with this, 44 per cent of businesses said they had increased prices in the past six months, and similar numbers expected to increase prices again in the coming months.
Business investment in Selwyn was lower over the past six months, with six per cent of businesses investing, compared to 15 per cent in the previous six months.
Twenty-one per cent of businesses reported reduced profits over the previous six months, while 11 per cent reported falling sales and four per cent reduced staff.
At the same time, 18 per cent of businesses were expecting their profits to increase over the next six months, 18 per cent were expecting to increase investment in the next six months, and 11 per cent were intending to hire new staff.
Selwyn District Council group manager community services and facilities Denise Kidd said it was good to see businesses had a positive outlook in spite of the economic challenges.
“It’s particularly pleasing to see businesses reporting that they’re planning to hire and invest over the next six months," Kidd said.
"It shows the underlying strength of the Selwyn economy that even in tougher times our businesses are generally holding up well,” Kidd said.
Selwyn Printing Company owner Derek Smith said he was increasing prices where possible in response to rising costs, but had lost clients doing this.
“In the print industry, it’s quite competitive in the high-value jobs,” Smith said.
The last six months had been “unbelievably tough”.
As well as increasing costs, about 20 per cent of his staff had been away sick on any given day since May.
Levels of illness with winter bugs and other ailments was still high in the wake of Covid.
The company had 12 staff across three offices at Lincoln, Rolleston and Christchurch, and are advertising for more.
Nevertheless, he generally had good business confidence and is optimistic about the future.
“The economy seems to have held better than what I was expecting,” he said.
“The demand is there at the moment, we are just struggling to fulfil it.”
