New Zealand posted a merchandise trade deficit of NZ$3.2 billion in 2016, Statistics New Zealand said on Monday – representing 6.6 percent of exports. The headline figure followed the NZ$3.5 billion shortfall in 2015.
The total value of all export goods in 2016 was NZ$48.4 billion, down NZ$544 million from the previous year.
The biggest fall by value was for meat and edible offal, with sales down NZ$909 million to NZ$5.9 billion. The fall in meat was driven by beef (down NZ$481 million) and lamb (down NZ$415 million).
The United States accounted for three-quarters of the fall in beef, while the European Union (EU) accounted for nearly half of the fall in lamb. The amount of meat fell 7.4 percent from 2015, with beef falling 14 percent and lamb falling 4.6 percent.
"The large fall in meat exports for 2016 reflects a decline from the record meat season in 2015 for both value and quantity," international statistics senior manager Nicola Growden said. "The 2016 year's meat exports have returned to levels similar to those seen in 2014."
The quantity of milk powder, butter, and cheese exported rose to a new high of 3.0 million tons, despite a near 3 percent fall in the value of dairy exports to NZ$11.2 billion.
The value of imported goods was NZ$51.6 billion in 2016, down NZ$883 million (1.7 percent) from a year earlier. The fall was led by cheaper oil and petrol, and partly offset by a rise in cars, trucks, and parts.
Oil and petrol fell NZ$840 million in 2016, mainly due to crude oil (down NZ$666 million). The amount of crude oil imported rose 2.3 percent in 2016, and has been increasing for the past two years.
For the fourth quarter of 2016, the trade deficit was NZ$1.0 billion or 8.5 percent of exports. Imports were down 1.9 percent on quarter to NZ$13 billion, while exports shed 0.8 percent to NZ$11.9 billion.
For December, New Zealand posted a merchandise trade deficit of NZ$41 million – beating forecasts for a deficit of NZ$98 million following the NZ$705 million shortfall in November.
Exports were down NZ$41 million or 0.9 percent on year to NZ$4.4 billion. That topped estimates for NZ$4.23 billion and was up from NZ$3.86 billion in the previous month.
Imports slipped NZ$42 million or 0.9 percent on year to NZ$4.4 billion versus forecasts for NZ$4.34 billion and down from NZ$4.56 billion a month earlier.
by RTT Staff Writer
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