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

 

Further Fall in Merchandise Terms of Trade


Further Fall in Merchandise Terms of Trade

The merchandise terms of trade fell 1.8 percent in the September 2002 quarter, according to the latest Overseas Trade Indexes released by Statistics New Zealand. The fall in the merchandise terms of trade is due to export prices falling more than import prices in the latest quarter, and follows a decrease of 4.7 percent in the June 2002 quarter. A fall in the terms of trade means that less imports can be funded by a fixed quantity of exports.

Prices for merchandise exports decreased 2.8 percent in the September 2002 quarter and import prices fell 1.0 percent. Export and import prices peaked in the December 2000 quarter, when they were 41.3 percent and 36.4 percent higher respectively than in the June 1997 quarter. Since the December 2000 quarter, export and import prices have fallen by 14.0 percent and 12.3 percent respectively.

Price falls were recorded in most of the main export categories in the September 2002 quarter, with price decreases for dairy products (down 12.2 percent) having the greatest impact. Dairy prices are now at their lowest level since the September 1991 quarter. Most of the import series also recorded price falls in the latest quarter. Lower prices for imports of textiles, clothing and footwear (down 4.9 percent) and passenger motor cars (down 2.1 percent) were the main contributors to the fall.

Seasonally adjusted merchandise export volumes showed little change (down 0.2 percent) in the September 2002 quarter. Lower volumes of meat (down 6.9 percent), fish and fish preparations (down 12.8 percent) and wool (down 12.0 percent) were partly offset by higher volumes of dairy products (up 4.1 percent) and forestry products (up 5.2 percent).

Seasonally adjusted merchandise import volumes rose 2.3 percent in the September 2002 quarter. Merchandise import volumes have now shown continuous growth for the latest four quarters. The capital goods (up 3.7 percent), intermediate goods (up 1.0 percent) and consumption goods (up 4.1 percent) volume indexes all recorded increases in the latest quarter, with consumption goods volume being the main contributor.

The terms of trade for services rose 0.7 percent in the September 2002 quarter, recording the fourth consecutive increase. This was due to import prices (down 2.7 percent) falling more than export prices (down 2.1 percent) in the latest quarter.

Brian Pink

Government Statistician

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Westpac NZ: Warns About Sophisticated New Scam
Westpac NZ is warning New Zealanders about a sophisticated new scam that involves a fake Westpac investment prospectus.
The prospectus is formatted to resemble a Westpac document and includes professional-looking imagery... More>>



Campaign For NZ Coastal Tankers : Says Fuel Security At Risk

Three unions representing New Zealand shipping crews are mounting a united campaign to protect New Zealand’s fuel security and save New Zealand coastal tankers... More>>



Tourism: Travel Bubble With Cook Islands Resumes

Cook Islands tourism restarts today, ending a five-month border closure due to COVID-19. Graeme West, General Manager Australasia for Cook Islands Tourism Corporation, said today’s first flight of quarantine-free travel from New Zealand to the Cook Islands is very significant... More>>


Insurance Council of New Zealand: September South Island Windstorm Cost $36.5 M Raises 2021 Extreme Weather Claims Total To $321.6 M

Gale force winds and storms between 9 and 13 September 2021 resulted in insurers supporting communities to the tune of $36.5 m. This is a significant rise, of $16.7 m, on preliminary figures for the event and lifts the end of year total for all extreme weather events in 2021 to $321.6 m... More>>


Statistics: Building Consents Hit New Highs In November
There were a record 48,522 new homes consented in the year ended November 2021, Stats NZ said today. This was up 26 percent compared with the year ended November 2020... More>>

Fonterra: Revises Milk Collection Forecast
Fonterra Co-operative Group Limited today revised the forecast for its 2021/22 New Zealand milk collections to 1,500 million kilograms of milk solids (kgMS), down from its opening forecast of 1,525 million kgMS... More>>