Friday, 31 May 2013 11:23

Dairy pushes up terms of trade

Written by 

The merchandise terms of trade rose 4.1% in the March 2013 quarter, due to export prices rising and import prices falling, Statistics New Zealand says.

 

This means that in the March 2013 quarter, 4.1% more merchandise imports could be funded by a fixed quantity of merchandise exports than in the December 2012 quarter.

"The terms of trade rose this quarter, after falling for six consecutive quarters from their peak in 2011," prices manager Chris Pike says. "Export prices rose for the first time since the December 2011 quarter."

In the March 2013 quarter, the price of exported goods rose 1.9%, reflecting higher prices for dairy. Lower meat prices partly offset the rise. Seasonally adjusted export volumes rose 0.9%, led by meat. The trend for export volumes has risen for seven consecutive quarters.

Seasonally adjusted dairy export volumes rose 2.2% after a fall of 13% in the December 2012 quarter, while prices rose 6.8% after six consecutive falls. Both volume and price movements were strongly influenced by milk powder.

Seasonally adjusted dairy values rose 3.3% after a 14% fall in the December 2012 quarter. Seasonally adjusted meat export volumes rose 5.3% (led by beef and veal), following a small fall in the December 2012 quarter. Meat prices fell 3.1%, led by lower lamb prices. Seasonally adjusted meat values rose 0.8%.

The price of imported goods fell 2.1% in the March 2013 quarter. The fall was broadly based, influenced by a higher New Zealand dollar. Seasonally adjusted import volumes rose 2.1%, led by higher volumes of motor spirit.

The price and volume indexes for exports and imports of goods are compiled mainly from overseas trade data.

More like this

Editorial: Support Dairy

OPINION: Political parties are getting plenty of advice and recommendations from sector groups as the election approaches.

Featured

A Year of Delivery for Fonterra

Fonterra’s 2026 financial year was a year of delivery, with record volumes of milk collected, processed and shipped by the co-op.

Editorial: Common Sense Prevails

OPINION: The Government's decision to reinstate agriculture and horticultural science as a standalone subject from Year 11 is the right one.

Miriam Lauridsen on Farm Health and Safety Culture

When dairy manager Miriam Lauridsen learned the farm, she was joining held weekly health and safety meetings, she initially thought that was “a bit over the top”. Experiencing that culture changed her mind.

National

Machinery & Products

Claas Balers Turn 30

Claas built its first variable chamber round baler - the Variant 100 - in 1996, so 2026 marks 30 years…

» Latest Print Issues Online

The Hound

'LinkedIn Greens'

OPINION: The same mainstream media muppets that brought you Jacindamania in 2017 have been flat out pimping for the Opportunities…

UK Warning

OPINION: Your old mate reckons the atrocious way farmers in the UK are treated by their lords and masters in…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter