The number of people who have had to wait longer than 12 months for their firearms licence has almost doubled in the past year.
Otago hunting business owner Sheldon Lye said jobs are now under threat due to the Government's firearms laws.
"We've got staff due for renewal soon and we're worried the renewals process is taking a long long time," he said.
The new, stricter screening process is supposed to stop guns falling into the wrong hands after 51 people were killed in the Christchurch mosque terrorist attack in 2019.
But the ACT Party's firearms spokesperson said the process wasn't being handled efficently by police.
"The numbers tell us that there is a fundamental issue with police administering the firearms regime," she said.
"[There's] concern about businesses folding, contracts being lost, concern about whether or not people can go out there and put food on the table."
Meanwhile, Police Minister Poto Wiliiams blamed Covid-19 for delays.
"One of the requirements is for police to undertake in-person interviews with the licence applicant and their referee," the minister said. "Those have been impossible to conduct while we've had Covid restrictions in place."
She said extensions to licences are being considered whilst more police are working to speed up sign-offs.
"At the end of the day, we are talking about 2 per cent of the 240,000 licensed firearm owners."
Lye said more needs to be done to ensure the processes are handled with more care.
"A separate administration needs to be created to manage firearms in New Zealand and do it competently with industry representatives," he said.
Williams said a review of the system is expected in the next few years but that "safety is paramount" in the mean time.
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