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Otago 

Located in the south of the South Island, the heartbreakingly beautiful Otago Region includes Dunedin on the East coast, and a number of very diverse districts including Waitaki, Balclutha, Central Otago and Queenstown. 

With a land mass of 31,241 km² and a population of 254,600, (2023) the region is sparsely populated with circa half the population based in Dunedin City, which has a population of 134,000.  Dunedin is sited at the head of a long and picturesque harbour.

Dunedin. or Ōtepoti in Māori, is the second-largest city in the South Island of New Zealand (after Christchurch), and the principal city of the Otago region. Its name comes from Dùn Èideann ("fort of Edin"), the Scottish Gaelic name for Edinburgh, the capital of Scotland. The city has a rich MāoriScottish, and Chinese heritage.  It is notably, home to the oldest University in New Zealand.

With an estimated population of 134,600 as of June 2023, Dunedin is New Zealand's seventh-most populous metropolitan and urban area. For cultural, geographical, and historical reasons, the city has long been considered one of New Zealand's four main centres. 

 

The harbour and hills around Dunedin are the remnants of an extinct volcano. The city suburbs extend out into the surrounding valleys and hills, onto the isthmus of the Otago Peninsula, and along the
shores of the Otago Harbour and the Pacific Ocean.
 

Archaeological evidence points to lengthy occupation of the area by 
Māori prior to the arrival of Europeans. The province and region of
Otago takes its name from the Ngāi Tahu village of Otakou at the
mouth of the harbour, which became a whaling station in the 1830s.
 

In 1848 a Scottish settlement was established by the Lay
Association of the Free Church of Scotland and between 1855 and
900 many thousands of Scots emigrated to the incorporated city. Dunedin's
population and wealth boomed during the 1860s' Otago gold rush, and for a brief period of time it became New Zealand's largest urban area. The city saw substantial migration from mainland China at the same time, predominately from Guangdong and Guangxi.Dunedin is home to New Zealand's oldest Chinese community.
 

Today Dunedin has a diverse economy which includes manufacturing, publishing, arts, tourism and technology-based industries. The mainstay of the city's economy remains centred around tertiary education, with students from the University of Otago, New Zealand's oldest university, and the Otago Polytechnic, accounting for a large proportion of the population; 21.6 per cent of the city's population was aged between 15 and 24 at the 2006 census, compared to the New Zealand average of 14.2 per cent. Dunedin is also noted for its vibrant music scene, as the 1980s birthplace of the Dunedin sound (which heavily influenced grungeindie and modern alternative rock). In 2014, the city was designated as a UNESCO City of Literature.

Otago’s varied landscape includes the inland ranges and basins of Central Otago, the southern peaks of the Southern Alps, coastal lowlands, and hill country.  In New Zealand history, Otago is famous for the gold rushes which began in 1861 with the first discovery at Gabriel’s Creek. By 1880, Otago gold and wool had helped make Dunedin New Zealand’s largest and wealthiest town.  It is also home to the first shipment of frozen meats to Europe. 

​​​​​The district of Waitaki lies to the north of Dunedin - it is known for its gold, its Victorian precinct, its strong agricultural base, various snowfield's, including Ohau snowfield and ski lodge in Ohau, its wildlife, particularly its penguin colony that attracted 35,000 visitors in 2023.  See video of Waitaki and its largest town, Oamaru.

 

Central Otago lies at the heart of Otago.  The area is dominated by mountain ranges and the upper reaches of the Clutha River and tributaries. The wide flat plateau of the Maniototo which lies between the upper reaches of the Taieri River and the Clutha's northern tributary the Manuherikia is also part of Central Otago. Other towns and villages include AlexandraBannockburnClydeCromwellMillers FlatNasebyOmakauRanfurlyRoxburghSt. Bathans, and WedderburnSee video of Central Otago.

 

Since the 19th century, most of Central Otago's economic activity has centred on sheep, stone fruit, and tourism. In recent years, deer farms and vineyards have increased the region's economic diversification. Central Otago is the world's southernmost commercial wine production region. Recently the cool climate varieties Riesling and Pinot noir have been recognised as being especially suitable, and as the vines age Central Otago wines can be expected to improve even further, as the plantings are new and increasing rapidly.


Balclutha District lies to the south of Dunedin. Known locally as "Clutha", Balclutha's name – and that of the river on which it stands – reflects the Scottish origin of the town's settlement. The name comes from Scottish Gaelic Baile Chluaidh (literally "Clyde Town", a poetic name for Dumbarton).  See video of Balclutha. 
 

James McNeil from BonhillDumbartonshire, Scotland, who is regarded as the town's founding father, arrived in 1853, via Port Chalmers in 1849. His farm was on the site of the present town, where he and the Provincial Government established a ferry service across the Clutha in 1857; as a result the town was initially called Clutha Ferry.
 

The Māori name for the area is Iwikatea, literally "Bleached bones" (a local Māori tribal battle in 1750 left the decomposing bodies of the defeated, their bones whitened in the sun).

Queenstown - last but not least is the remarkable district of Queenstown. With its towering mountains and lakeside location, Queenstown is a hub of adventure, bursting with adrenaline and fun.  Whilst it is well known and regarded as the world's adventure capital, there is much more to Queenstown than tourism. It is for example ground zero for New Zealand's commercial ski industry, its scenery ensures it is a prime location for movie sets, it produces some of the best wines in the country and there is still plenty of time to prospect for gold in the rivers of Queenstown.  See video of Queenstown.

Climate
The climate of Otago, in particular Central Otago, has some of New Zealand’s highest and lowest temperatures, and lowest rainfall. As an elevated region, relatively distant from the ocean, Central Otago has a more continental climate than any other area of the country: winters are quite cold and dry, summers hot and dry. Central Otago frequently tops New Zealand’s summer temperature charts. 

Dunedin has a temperate coastal climate and four distinct seasons. There’s some frost in winter and very occasional snowfalls which usually clear during the day. Temperatures reach 20° – 25°C in the summer months, 13° – 17°C in autumn, 9° – 12°C in the winter months and 12° – 17°C in spring.  Dunedin’s rainfall is relatively low.

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Otago's Vital Statistics

                                                                                                   

The Economy

GDP in Otago Region measured $16,726.9m in the year to March 2023, up 3.1% from a year earlier. Growth was greater than in New Zealand (2.8%). Economic growth in Otago Region averaged 3.1%pa over the 10 years to 2023 compared with an average of 3.0%pa in New Zealand. Otago Region accounted for 4.4% of national GDP in 2023.

The top ten largest industries in the region are as follows.  The industries in which Otago Region has the largest comparative advantages are mining (location quotient=4.6), accommodation and food services (2.7) and electricity, gas, water and waste services.

Total exports from Otago Region were $3,821.1m

in 2023, an increase of 52.7% compared to the previous

year. By comparison exports increased by 11.9% in

New Zealand.
 

The industry in Otago Region with the highest exports

in 2023 was meat and meat product manufacturing 

($839.7m), followed by rail, water, air and other transport

($632.4m) and accommodation and food

services ($608m).

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Image by Samuel Ferrara
Economic Development Agencies in Otago 
 

The Otago region is large and diverse. It is serviced by a number of EDA's including:

Enterprise Dunedin

Waitaki District Council 

Clutha District Council

Central Otago District Council, and 

Queenstown Lakes District Council. 

Each of the agencies collaborates on in informal basis with its sister agencies in the region. 

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