The monthly value of merchandise exports from New Zealand hit a record high of NZ$4.5 billion in March, Statistics New Zealand reported.
The merchandise trade balance for the March 2011 month was a surplus of NZ$464 million (10% of exports). This compared with an average surplus of 5.7% of exports over the preceding five March months, Stats NZ said.
See the release from Stats NZ:
The seasonally adjusted value of merchandise exports increased 3.2 percent ($354 million) to $11.6 billion in the March 2011 quarter, Statistics New Zealand said today.
“Higher quantities of milk powder, butter, and cheese led the increase in export values for the March 2011 quarter,” overseas trade manager Neil Kelly said. “Crude oil and logs, wood, and wood articles also recorded notable increases in values.”
The total value of goods imported, after adjusting for seasonal effects, increased 8.9 percent to $12.0 billion in the March 2011 quarter, led by a 13 percent increase in intermediate goods. The largest increases in intermediate goods were crude oil and processed industrial supplies, up 31 percent ($306 million) and 6.8 percent ($154 million), respectively.
The December 2010 and March 2011 quarters both included one-off imports of aircraft. Excluding these imports, the value of goods imported increased 7.1 percent from the December 2010 quarter.
The seasonally adjusted trade balance for the March 2011 quarter was a deficit of $428 million, equivalent to 3.7 percent of exports. Excluding the one-off importation of aircraft, the March 2011 quarter had a small seasonally adjusted trade surplus of $14 million (0.1 percent of exports).
March 2011 had the highest monthly value for exports ever recorded ($4.5 billion). The previous high was $4.2 billion in May 2010. The trade balance for the March 2011 month was a surplus of $464 million (10 percent of exports). This compares with an average surplus of 5.7 percent of exports over the preceding five March months.
Here is the reaction from ASB economist Jane Turner
The Trade Balance recorded the first deficit (on a quarterly seasonally-adjusted basis) since 2009. Export receipts remain strong, but surging fuel prices and import of large aircraft have offset the gain from the strong commodity export performance. We are expecting 2 more Boeing 777 airplanes over this year, in addition to the import of a number of smaller planes which will continue to weigh on the trade balance. Nonetheless, stronger commodity income will remain a key feature underpinning the NZ economy over the next year.
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