Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ turns to a trade gap in July, led by falling log prices

NZ turns to a trade deficit in July, led by falling log prices

By Tina Morrison

Aug. 26 (BusinessDesk) - New Zealand posted its first monthly trade deficit in nine months in July, led by falling prices for export logs and wood products.

Statistics New Zealand said the country had a trade deficit of $692 million in July, bigger than the $475 million deficit forecast in a Reuters poll of economists. Exports in July fell 3.3 percent from the same month a year earlier to $3.7 billion, lower than the $3.98 billion expected by economists in the Reuters poll. Imports dropped 4.8 percent to $4.4 billion, close to the $4.5 billion forecast.

Falling prices for New Zealand pine log exports to China led the export declines. Exports of logs and wood products, New Zealand’s third largest commodity export, fell 16 percent to $282 million in July from the same month a year earlier while volumes were little changed.

While China remained New Zealand’s largest trading partner, the country’s exports to Asia’s largest economy fell 5.4 percent in July to $615 million, led by declines in pine logs and infant food.

Meanwhile, exports of milk powder, butter and cheese, New Zealand’s largest commodity export, rose 0.9 percent to $931 million in July from the year earlier month as quantities rose 16 percent. The rise was led by milk powder, while butter and cheese fell, the statistics agency said.

Exports to Australia, New Zealand’s second largest market, declined 7.1 percent to $687 million in the month over a range of commodities, the agency said.

However exports to the US, the third largest market, jumped 18 percent to $363 million, led by casein and caseinates and frozen beef.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Half Full: Dairy Payouts Steady, Cash Will Be Tight

Industry body DairyNZ is advising farmers to focus on strong cashflow management as they look ahead to the 2015-16 season following Fonterra's half-year results announcement today. More>>

ALSO:

First Union: Cotton On Plans To Use “Tea Break” Law

“The Prime Minister reassured New Zealanders that ‘post the passing of this law, will you all of a sudden find thousands of workers who are denied having a tea break? The answer is absolutely not’... Cotton On is proposing to remove tea and meal breaks for workers in its safety sensitive distribution centre. How long before other major chains try and follow suit?” More>>

ALSO:

Scoop Business: NZ-Korea FTA Signed Amid Spying, Lost Sovereignty Claims

A long-awaited free trade agreement between New Zealand and South Korea has been signed in Seoul by Prime Minister John Key and the Korean president, Park Geun-hye. More>>

ALSO:

PM Visit: NZ And Viet Nam Agree Ambitious Trade Target

New Zealand and Viet Nam have agreed an ambitious target of doubling two-way goods and service trade to around $2.2 billion by 2020, Prime Minister John Key has announced. More>>

ALSO:

Scoop Business: NZ Economy Grows 0.8% In Fourth Quarter

The New Zealand economy expanded in the fourth quarter as tourists drove growth in retailing and accommodation, and property sales increased demand for real estate services. More>>

ALSO:

Scoop Business: RBNZ’s Wheeler Keeps OCR On Hold, No Rate Hikes Ahead

The Reserve Bank has removed the prospect of future interest rate hikes from its forecast horizon as a strong kiwi dollar and cheap oil hold down inflation, and the central bank ponders whether to lower its assessment of where “neutral” interest rates should be. The kiwi dollar gained. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news