HOT TOPICS:   Housing affordability  |  NZ$   | Dairy prices                                            RESOURCES:    Economic calendar   |   Soil moisture history

The comment stream

Recent comments

Reader poll

Do you support the Reserve Bank intervening in the currency market to weaken the NZ dollar?

Choices

Join the Interest community to be a registered commenter so you can:
- Edit your comments
- Avoid the CAPTCHA
- Vote on comments
Register Here

Already registered? log back in here ..

Forgotten your password? No problem! Click here

Surge in exports to China fuels NZ$414 million February merchandise trade surplus

Posted in News

A big increase in exports to China has seen New Zealand record a merchandise trade surplus of NZ$414 million for February - which was considerably higher than expected.

Statistics New Zealand said the value of exported goods rose NZ$290 million (8%) to NZ$3.9 billion in February 2013, compared with February 2012.

This was led by an increase in exports to China, up NZ$259 million (49%).

"Milk powder, pine logs, and sheep meat led the rise in exports to China," industry and labour statistics manager Louise Holmes-Oliver said. "China drove the overall rise in exports."

The increase in exports to China was led by whole milk powder, up NZ$106 million (80%), with quantities up 99%. Pinus radiata logs, up NZ$43 million, and sheep meat, up NZ$38 million, also contributed to the increase.

The value of imported goods rose NZ$86 million (2.%) to NZ$3.5 billion. Consumption goods led the rise, up NZ$90 million, while capital goods fell NZ$29 million, and intermediate goods fell NZ$15 million.

The trade surplus of NZ$414 million represented 11% of exports.

February months have been in surplus since 2007.

For the year ended February 2013, there was an annual trade deficit of NZ$1.1 billion (2.4% of exports). Eight of the last 10 February years have had trade deficits, but there were surpluses in the February 2011 and February 2012 years.

After removing seasonal effects, exports increased 16% in February 2013, compared with January 2013. Milk powder, butter, and cheese led this increase. Seasonally adjusted imports rose 3.9% in February 2013.

The trend for exports is  just 0.7% lower than its highest-ever peak, of November 2011. The trend for imports has shown little change in recent months.

In February 2013, the value also rose for exports to: United States  – up NZ$47 million (13%), led by casein and caseinates,  Singapore – up NZ$41 million (70%), led by crude oil and partly refined petroleum, Japan – up NZ$21 million (12%), led by wood pulp and cheese, Korea – up $20 million (19%), over a range of commodities.

Conversely there was a fall in value of exports to: Australia – down NZ$73 million (9.2%), led by crude oil and mechanical machinery, France – down NZ$28 million (42%), led by motor boats, India – down $23 million (35%), over a range of commodities and the United Kingdom – down NZ$20 million (14%), led by sheep meat.

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

We welcome your comments below. If you are not already registered, please register to comment in the box on the right or click on the "'Register" link at the bottom of the comments.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current Comment policy is here.

1 Comments

The value of imported goods

The value of imported goods rose NZ$86 million (2.%) to NZ$3.5 billion. Consumption goods led the rise, up NZ$90 million, while capital goods fell NZ$29 million, and intermediate goods fell NZ$15 million.
 
Why is it always the case that the good is accompanied by the unsustainable?
 
It would seem the kitchen ATM for some households has moved into overdrive.