Monday, 15 October 2018 17:35

Strong growth for primary industries

Written by 
NZ's primary industry export revenue is forecast to reach $43.8 billion for the year to June 2019. NZ's primary industry export revenue is forecast to reach $43.8 billion for the year to June 2019.

New Zealand’s primary industry export revenue is forecast to reach $43.8 billion for the year to June 2019, an increase of 2.5% from 2018.

The Ministry for Primary Industries (MPI) Situation and Outlook report for September 2018, released today, gives an encouraging assessment of the major primary sectors which continue to grow, says Emma Taylor, director of agriculture, marine & plant policy.

“It’s a promising outlook and builds on the strong growth seen in 2018, when export revenue increased 11.8%. In 2018, dairy prices recovered from the lows of 2015 and 2016, high red meat prices boosted meat and wool revenue, and strong demand for logs in China led to record export prices and volume.

“Horticulture and dairy are the driving forces behind the increase forecast for 2019. Horticulture exports are forecast to rise 13.1% to $6.1 billion for the year ending June 2019. Improved growing conditions for the most recent harvest has led to higher yields for kiwifruit, and most other horticultural products.

“Dairy exports are forecast to rise 2.1% to $17.0 billion for the year ending June 2019, consolidating gains made in the last two years. With farm production growth likely to be relatively flat in coming years, revenue growth is expected to be driven by moves towards higher value products such as cheese and infant formula.

“Forestry exports are expected to remain stable at $6.4 billion for 2019. Log prices are expected to remain near record levels as Chinese construction activity is forecast to remain strong. 

“After an impressive gain in meat and wool exports in 2018, exports are forecast to decrease by 1.3% to $9.4 billion in 2019. Despite forecast increases in farm gate prices for lamb and venison, decreasing production volumes are forecast to lead to lower export revenue overall.

“Overall, the latest outlook for our primary industries gives plenty of positives as we work to sustainably reposition primary industries up the value chain and deepen sector partnerships.”

For more information see: www.mpi.govt.nz/EIU

» Connect with Rural News

More like this

US exports soar

US dairy exporters keep finding new markets for cheese and dairy ingredients despite facing trade tensions.

Bovis compo off to court

A South Island farming couple whose farm was the first discovered with Mycoplasma bovis are taking legal action against the Ministry for Primary Industries (MPI).

Stink bug warning for importers

A serious threat is posed to New Zealand’s agricultural and horticultural sectors by the brown marmorated stink bug (Halymorpha halys), MPI warns.

Telling NZ’s agritech story offshore

The New Zealand Agritech Story launched last week by Trade and Enterprise will make a key difference for export companies in the $1.5 billion sector, says an industry leader.

» The RNG Weather Report

Featured

Vaccinations protect people, animals

As we struggle to fathom how we ended up in the throes of a measles outbreak again, we’re reminded of the importance of vaccinations to protect us from life-threatening diseases.

 

» Connect with Rural News

» Connect with Rural News

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Chipping in

The Hound was intrigued to read an article recently, on the Newsroom website, that shows that Education Minister Chris ‘Chippy’…

I'm alright

This old mutt has been contacted by many concerned individuals about the role the former Synlait boss John Penno is…

 

» Connect with Rural News