Dairy export volumes advance to new record

Dairy export volumes hit a new high after rising 19 percent in the March 2019 quarter, adjusted for seasonal effects, Stats NZ said today.

While dairy volumes were strong in the quarter, actual dairy prices fell 7.5 percent. That means dairy values rose only 9.5 percent, seasonally adjusted.

Dairy products are New Zealand’s top goods export, accounting for more than a quarter of the value of all goods exported in the March quarter.

Total export volumes rose 5.0 percent in the March 2019 quarter, while total export prices fell 2.6 percent, both movements strongly influenced by dairy.

“Total export volumes are at their highest level since the series began in 1990, reflecting higher dairy volumes in the March quarter, after adjusting for seasonal effects,” business prices delivery manager Sarah Johnson said.

“The previous peak in dairy export volumes was in the September 2012 quarter.”

QuarterDairy volumesDairy prices
Mar-061101966
Jun-0613121021
Sep-061340982
Dec-061260920
Mar-071348947
Jun-071310980
Sep-0711221145
Dec-0714541292
Mar-0812251546
Jun-0810191543
Sep-0810261658
Dec-0811051749
Mar-0912091401
Jun-0915001063
Sep-091564943
Dec-091457993
Mar-1014221311
Jun-1014691390
Sep-1014161489
Dec-1014891358
Mar-1115651433
Jun-1116321498
Sep-1116041427
Dec-1116121411
Mar-1216691331
Jun-1217571296
Sep-1222491127
Dec-1218051096
Mar-1318891171
Jun-1316911329
Sep-1316371648
Dec-1319301630
Mar-1419461668
Jun-1419271596
Sep-1418841413
Dec-1419131203
Mar-1520301127
Jun-1518531194
Sep-1519891193
Dec-1520351041
Mar-1619711094
Jun-1620591017
Sep-162123984
Dec-1620341120
Mar-1718491323
Jun-1720951375
Sep-1719661364
Dec-1719401457
Mar-1819251359
Jun-1820211402
Sep-1819561489
Dec-1819621404
Mar-1923341299

“Dairy export prices have fallen for the second quarter in a row, likely reflecting the falling global dairy auction prices seen between June and November 2018. There is a lag between auction prices and the time dairy products cross the wharf for export,” Mrs Johnson said.

Fuel import prices fall

Fuel import prices fell 20 percent in the March 2019 quarter, reflecting much lower prices for petroleum and related products.

Crude oil prices were down 21 percent, while petrol prices were down 26 percent. Diesel prices were also down 15 percent this quarter.

Lower fuel prices were a key driver in the drop in overall import prices, down 3.5 percent in the March 2019 quarter.

QuarterCrude oil volumesCrude oil prices
Mar-0610881692
Jun-068401949
Sep-0610222007
Dec-068991615
Mar-078461620
Jun-0710021627
Sep-079741818
Dec-078722017
Mar-0810772172
Jun-088602560
Sep-0810243086
Dec-0811852181
Mar-098551391
Jun-099601400
Sep-0910971734
Dec-0912271657
Mar-1012801811
Jun-1012941870
Sep-1011711745
Dec-1011951826
Mar-1113062220
Jun-1114152284
Sep-1114282266
Dec-1112462326
Mar-1215652350
Jun-1210432553
Sep-1214412195
Dec-1214142274
Mar-1313282254
Jun-1313212160
Sep-1314692229
Dec-1312632278
Mar-1411282173
Jun-1414152067
Sep-1412882148
Dec-1413651847
Mar-1513231318
Jun-1512401363
Sep-1513801491
Dec-1513171079
Mar-161486781
Jun-1612401047
Sep-1612731167
Dec-1613191151
Mar-1711991307
Jun-1714211257
Sep-1713871152
Dec-1713511408
Mar-1814461549
Jun-189531760
Sep-1816191785
Dec-1814491964
Mar-1913701556

Total imports volumes rose 1.2 percent, led by diesel volumes (up 46 percent) and petrol (up 26 percent), while crude oil volumes fell 5.4 percent.

“Crude oil import volumes have been steady over the last five years, whereas the value of crude oil imports has been highly influenced by the price,” Mrs Johnson said.

Terms of trade up 1.0 percent

The merchandise terms of trade rose 1.0 percent, as imports prices fell more than export prices. The terms of trade is a measure of the purchasing power of New Zealand’s exports abroad. An increase means New Zealand can buy more imports for the same amount of exports.

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/Stats NZ Public Release. View in full here.