The Labour Party says tax deferrals should be given to manufacturing companies that invest in new technology.
Labour leader David Cunliffe unveiled the party's manufacturing policy on Thursday.
He said Labour plans to create better jobs and high wages in the manufacturing sector manufacturing is crucial to the economic lift the country desperately needs.
Mr Cunliffe said to boost investment it would provide tax deferrals to companies in advanced manufacturing, as well as in wood processing.
Labour would also introduce research and development tax credits for all sectors and set a target of keeping another $200 million a year of government contracting in New Zealand rather than sending that work overseas.
The Economic Development Minister has written the policy off as the same old story from a struggling opposition.
Steven Joyce said Labour has launched R&D tax credits for about the 17th time and have once again proposed changing monetary policy without saying how it would do that.
He said he's not surprised Labour popped the policy out the day before Easter.