Information in this release is for the month of May 2009 compared with May 2008 unless otherwise stated.
Exports
The value of merchandise exports for the month of May 2009 was $4.0 billion, up $218 million (5.8 percent) from May 2008. Exports to China accounted for 80 percent of this month’s increase, led by milk powder, butter and cheese, and logs, wood and wood articles.
The trend for total merchandise exports has remained relatively flat over the past eight months, rising at an average of 0.2 percent per month.
Milk powder, butter and cheese rose $131 million (19.4 percent) compared with May 2008, led by a 104 percent rise in the quantity of whole milk powder exported. This quantity increase follows lower than usual quantities in May 2008, which coincided with the North Island drought.
Logs, wood and wood articles recorded the second largest increase, up $55 million (32.1 percent). This increase was driven by a $60 million rise in pine log exports, including a $31 million increase to China.
The value of fruit exports increased $54 million (20.3 percent). This increase was led by a $39 million price-driven rise in the value of kiwifruit exports.
Crude oil recorded the largest offsetting decrease, down $90 million (36.0 percent). This decrease is entirely price driven, as quantities have increased 18.0 percent over this period. The next largest decrease was for aluminium and aluminium articles, down $63 million (47.7 percent).
By country of destination, China recorded the largest increase, followed by Australia and Indonesia. Exports to China almost doubled in value, up $176 million (96.7 percent), led by a $52 million (six-fold) increase in milk powder and a $46 million (three-fold) increase in logs, wood, and wood articles. The export increases to Australia and Indonesia were each largely due to exports of crude oil.
The largest decrease in exports was to Thailand, down $101 million (69.8 percent), as no crude oil was exported there in May 2009 following a shipment valued at $94 million in May 2008. Japan and Malaysia recorded the next largest decreases, led by aluminium and aluminium articles, and crude oil, respectively.
Imports
The total value of merchandise imports for May 2009 was $3.1 billion, down $809 million (20.7 percent) from May 2008. The latest month’s fall is the largest (in percentage terms) since February 1993.
The trend for merchandise imports has been decreasing since August 2008, and is down 15.4 percent since then.
All of the main broad economic categories fell in May 2009. Intermediate goods showed the largest fall, down $431 million (23.8 percent) due largely to a $106 million (32.3 percent) fall in crude oil imports. Capital goods fell $151 million (19.7 percent) mainly due to a fall in imported aircraft. Consumption goods was virtually unchanged, down $2 million (0.2 percent).
Passenger motor car imports were down $153 million (52.0 percent) compared with May 2008, to a total of $141 million. This decrease was led by petrol cars with a 1500–3000 cc rating (down $67 million), and cc rating exceeding 3000 (down $45 million).
At the more detailed commodity level, the largest decrease was for petroleum and products, down $271 million (40.0 percent), led by the previously mentioned decrease in crude oil. However, the timing of crude oil shipments is irregular, and can cause large percentage fluctuations in the series. The next largest decrease was recorded by vehicles, parts and accessories, which fell $246 million (50.6 percent) led by the passenger motor cars mentioned earlier. The decreases in petroleum and products, and vehicles, parts and accessories, make up more than 60 percent of the decrease in total imports.
Twenty-nine of the 40 top import commodity groups recorded decreases in May 2009. Aircraft and parts fell $86 million (54.9 percent) due to large aircraft being imported last May. Food residues, wastes and fodder fell $68 million (78.2 percent), mainly due to a fall in oil cake (down $56 million) as there was no oil cake imported in May 2009. Oil cake, which is used as cattle feed or fertilizer, imported in May 2008 was related to the drought.
By country of origin, Japan and Australia recorded the largest decreases, down $145 million and $123 million, respectively. Vehicles, parts and accessories was the biggest contributor to the decreases from each of these countries. The largest increase in imports was from Qatar, up $52 million (68.0 percent), due to more crude oil imported in May 2009 compared with May 2008.
Trade balance
In May 2009, the trade balance was a surplus of $858 million or 21.7 percent of the value of exports. This is the largest trade surplus, as a percentage of exports, since June 1993 (22.6 percent of exports). The trade balance has now been in surplus for four consecutive months, which last occurred in early 2002.
The trend for the trade balance has risen significantly over the past nine months. While the trend is now showing a trade surplus for the last three months, the latest trend estimates may be revised and should be used with caution until more data points are available.
The annual trade balance for the year ended May 2009 was a deficit of $3.0 billion (7.0 percent of exports). As a percentage of exports, this is less than half of the average of 15.7 percent for the preceding five May years.
Three months ended May 2009
Exports of merchandise goods for the three months ended May 2009 were valued at $11.7 billion, an increase of $661 million (6.0 percent) on the same period of the previous year.
In the three months ended May 2009, key increases and decreases in exports compared with the three months ended May 2008 were as follows:
By commodity:
- Meat and edible offal exports increased $235 million (15.7 percent) – the largest increase – due to a price-driven rise in sheep meat, and price and quantity increases in frozen boneless beef cuts.
- Fruit recorded the second largest increase, up $155 million (25.7 percent) led by a $106 million increase in the value of kiwifruit exported.
- Milk powder, butter and cheese rose $133 million (6.1 percent), due to a $91 million increase in skimmed milk powder, and a $56 million increase in cheese exports.
- Crude oil recorded the largest decrease, down $325 million (45.8 percent), due mainly to decreased prices.
- Aluminium and aluminium articles recorded the second largest decrease, down $176 million (46.2 percent), led by a $159 million decrease in unwrought aluminium.
By country:
- Exports to China almost doubled, up $514 million (91.7 percent), led by milk powder, butter and cheese, and wood and wood articles.
- The United States of America recorded the second largest increase, up $147 million (13.6 percent), led by meat and edible offal
- Thailand recorded the largest decrease, down $175 million (57.1 percent), with a $133 million drop in crude oil exports
- Exports to Japan fell $128 million (14.1 percent), dominated by a $147 million decrease in aluminium and aluminium articles.
Imports of merchandise goods for the three months ended May 2009 were valued at $10.0 billion, down 12.7 percent from the same period of the previous year.
In the three months ended May 2009, key increases and decreases in the value of imports compared with the three months ended May 2008 were as follows:
By commodity:
- The vehicles, parts and accessories category had the largest decrease, down $560 million (42.7 percent), mainly due to decreases in passenger motor vehicles (down $368 million or 46.7 percent) and goods transport vehicles (down $166 million or 60.4 percent).
- Petroleum and products decreased $437 million (21.8 percent) – the second largest decrease (due to a $340 million decrease in crude oil, and a $91 million decrease in refined and partly refined oils).
- Electrical machinery and equipment recorded the largest increase for the quarter, up $171 million (19.4 percent), led by increases in telecommunications transmission equipment (up $82 million), and electric generating sets and rotary converters (up $33 million).
By country of origin:
- Malaysia was the largest decrease, down $461 million (65.5 percent), mostly due to an oil platform being imported in April 2008, as well as crude oil not being imported from Malaysia this quarter, resulting in a fall of $420 million.
- Australia was down $237 million (11.6 percent) – the second largest decrease – due to decreases in a variety of items including vehicles, parts and accessories (down $76 million), petroleum and products (down $39 million) and iron and steel (down $38 million).
- The largest increase was from China, up $169 million (12.7 percent), due to increases in several categories including electrical machinery and equipment, up $68 million (27.6 percent), and apparel and clothing accessories, up $53 million (25.8 percent).
Exchange rate movements
According to the Reserve Bank’s Trade Weighted Index, the New Zealand dollar rose 1.9 percent in May 2009 compared with April 2009, and is down 16.3 percent compared with May 2008.
Updates to previous statistics
Provisional values published on 26 May 2009 have been updated. Merchandise trade statistics for the latest three months are provisional to allow for the inclusion of late data and amendments.
For technical information contact:
Michael Wallace or Soni Makaafi
Christchurch 03 964 8700
Email: overseastrade@stats.govt.nz
Next release ...
Overseas Merchandise Trade: June 2009 will be released on 28 July 2009.