Monday, 26 September 2016 15:04

Exports fall 8.7% as milk powder hits seven-year low

Written by 
Milk powder exports falling in August have contributed to a 8.7% fall in the monthly value of exports. Milk powder exports falling in August have contributed to a 8.7% fall in the monthly value of exports.

Milk powder exports falling in August have contributed to a 8.7% fall in the monthly value of exports when compared with August 2015, Statistics NZ says.

Milk powder exports fell in August 2016 to the lowest level since August 2009.

The milk powder, butter, and cheese commodity group fell $135 million from August 2015, with milk powder leading the fall (down $90 million). All top destinations of milk powder fell in value and quantity, with both China and the United Arab Emirates seeing a drop in value of over half.

Meat and edible offal had a large fall, down $111 million, with falls in both beef and lamb. The United States had the largest fall in beef, and the United Kingdom had the largest fall in lamb. The fall in meat exports is partly due to a record high meat season this time last year.

Falls in other commodities such as fruit, wool, casein, and mechanical machinery contributed to the fall in exports, which was down $323 million (8.7%) from August 2015.

“The large fall in export value this month comes off the back of high export volumes in the June quarter,” international statistics senior manager Stuart Jones says. “Logs are the only major commodity to continue high volumes and values through to August.”

Logs, wood, and wood article exports offset part of the fall in exports, rising over $100 million. Led by untreated logs, the commodity group hit a new high for export value and was up 3.7% from the previous high in August 2013.

With exports falling more than imports this month, the trade balance was a deficit of $1.3 billion (37% of exports). Including August 2016, in the past 10 years there have been seven months with deficits larger than $1 billion. Three of these were August months.

Strong export volumes in the June 2016 quarter meant the large trade deficit this month had a smaller impact on the annual trade balance than it otherwise would have. For the year ended August 2016, the trade balance was a deficit of $3.1 billion.

This release focuses on our goods trade. For the year ended June 2016, goods made up 70% of total exports, and 74% of total imports. Goods and Services Trade by Country: Year ended September 2016 will be available on December 2, 2016.

More like this

Efficient cows

New data from Statistics NZ shows that Canterbury had the biggest fall in agricultural emissions, down 2.7%, mainly due to a decline in livestock numbers.

Red meat exports exceed $1 billion

New Zealand exported red meat and co-products worth just over $1 billion during March 2021, according to the latest analysis from the Meat Industry Association (MIA).

National

Why should we do more?

OPINION: Managing our dairy sector's impacts inevitably attracts a range of views. Should we do more, less or stay the…

Cattle sale with a difference

Innovation, loss and resilience have brought the Singh family to the point where it is poised to honour its patriarch,…

O'Connor's overseas odyssey

Agriculture Minister Damien O'Connor continued his overseas odyssey in the past week with multiple meetings in the US, Europe and…

Machinery & Products

Protective tint

Now available in New Zealand, Wildcat Static Cling Tint adds a protective layer to the windows of your tractor, harvester…

New owner for stoll

German company Stoll, the well-known manufacturer of tractor front loaders and attachments that claims to be the second largest producer…

Fert spreaders get a revamp

Kuhn has updated its MDS range of fertiliser spreaders, giving farmers more options to upgrade machines as situations change, rather…

Mowers spring into action

With spring upon us, thoughts turn towards shutting up paddocks for conservation and maybe the purchase of new machinery to…

» The RNG Weather Report

» Latest Print Issues Online

Milking It

Feeling the heat

US dairy farmers have a new threat to their business - heat waves.

Class action

The news has gone from bad to worse for a2 Milk - the company Synlait had hitched its wagon to.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter