Manufacturing sales volumes and wholesale trade sales values rose this quarter to record levels for any September quarter, bouncing back from the impact of COVID-19, Stats NZ said today.
"In June these industries were heavily impacted by COVID-19, however, in September, levels have rebounded and are in fact higher than any other September quarter on record," business insights manager Sue Chapman said.
"This could be due to a rise in demand and more stability in these industries."
| Quarter | Manufacturing volumes | Wholesale trade values |
| Sep-17 | 24321426000 | 25475251000 |
| Dec-17 | 27673469000 | 27896872000 |
| Mar-18 | 25880705000 | 24728334000 |
| Jun-18 | 25850372000 | 26645783000 |
| Sep-18 | 24174696000 | 27695288000 |
| Dec-18 | 27711434000 | 29271970000 |
| Mar-19 | 26413210000 | 26038196000 |
| Jun-19 | 25750082000 | 27624213000 |
| Sep-19 | 24226552000 | 28155644000 |
| Dec-19 | 28115176000 | 29838982000 |
| Mar-20 | 25905989000 | 26520993000 |
| Jun-20 | 22624556000 | 24951225000 |
| Sep-20 | 24969744000 | 29780707000 |
Wholesale trade
Total wholesale trade sales rose to $29.8 billion, up $1.6 billion (5.8 percent) on September last year. This reflected a sharp rebound from low levels in the June quarter, when most businesses shut temporarily during the COVID-19 lockdown.
"Producers and distributors picked up again in the September quarter with higher sales of essentials such as food and medicines," Ms Chapman said.
This is the highest September quarter on record and the second highest value of all quarters, just below the peak December 2019 quarter. Quarterly wholesale trade sales data started 25 years ago and is not adjusted for price changes.
Grocery, liquor, and tobacco wholesaling had the largest industry value increase in the September quarter, up $667 million (7.6 percent on the same period last year) to $9.5 billion.
"Our largest city, Auckland, briefly returned to COVID-19 alert level 3 in mid-August due to community spread of the virus. However, supermarkets, pharmacies, and medical centres remained open in the quarter as essential services and demand for these products and services lifted," Ms Chapman said.
| Quarter | "Grocery |
| Sep-17 | liquor |
| Dec-17 | and tobacco product" |
| Mar-18 | 8012116000 |
| Jun-18 | 8328227000 |
| Sep-18 | 7508655000 |
| Dec-18 | 8367486000 |
| Mar-19 | 8605405000 |
| Jun-19 | 8917075000 |
| Sep-19 | 7979446000 |
| Dec-19 | 8986835000 |
| Mar-20 | 8797458000 |
| Jun-20 | 9002900000 |
| Sep-20 | 8397134000 |
Other goods wholesaling had the second-largest rise for any industry and the largest percentage rise, up $481 million (11 percent) to $4.7 billion in the September 2020 quarter, compared with a year ago.
Other goods wholesaling industry includes businesses that supply pharmaceutical, toiletry, and other health goods.
Manufacturing
Manufacturing sales volumes in the September 2020 quarter rose to the highest September quarter level on record, springing back from a COVID-19-related downturn earlier in the year.
Total manufacturing sales volumes rose to $25 billion, up 3.1 percent ($743 million) on the September 2019 quarter.
The volumes are calculated by removing the effect of the price changes from sales values.
"The rise in manufacturing sales this quarter comes after substantial falls in the June quarter, due to COVID-19's impact on businesses making products that range from food and beverages to refined petrol," Ms Chapman said.
Dairy and meat product manufacturing
By industry, dairy and meat product manufacturing had the largest volume rise, up 7.7 percent ($430 million) in the September 2020 quarter, providing the biggest boost to total manufacturing volumes.
"Export prices for meat and dairy fell in the September quarter, however the volume of dairy exports was up on the September quarter last year," Ms Chapman said.
"Meat and dairy exporters sold more, but for less."
Largest drop in terms of trade in a decade as dairy export prices sour has more about export prices and volumes of other goods and commodities.
Petrol manufacturing
Petroleum and coal product manufacturing had the second-largest sales volume rise, up 6.2 percent ($150 million) on the September 2019 quarter.
"Petrol refining volumes have returned to levels seen before COVID-19," Ms Chapman said.
"However, the slump in the price of petrol and lack of demand for processed fuel caused a large fall in nominal sales this year."
| Industry | Value change (current $) | Volume change (constant $) |
| Meat and dairy product | 37720000 | 430381000 |
| Petroleum and coal product | -666643000 | 150368000 |
| Beverage and tobacco product | 197524000 | 145359000 |
| Wood and paper product | 12176000 | 72062000 |
| "Chemical | 42625000 | 69065000 |
| polymer | 82104000 | 56759000 |
| and rubber product " | 78011000 | 56117000 |
| Furniture and other | 81695000 | 51932000 |
| Non-metallic mineral product | -21014000 | -4998000 |
| "Fruit | -32464000 | -40562000 |
| oil | 29811000 | -40950000 |
| cereal | -75444000 | -42142000 |
| and other food " | -107125000 | -160198000 |
| "Textile | ||
| leather | ||
| clothing | ||
| and footwear " | ||
| Printing | ||
| Metal product | ||
| Seafood processing | ||
| "Transport equipment | ||
| machinery | ||
| and equipment " |
Transport equipment, machinery, and equipment manufacturing sales grounded
Transport equipment, machinery, and equipment manufacturing had the largest industry sales fall in the September 2020 quarter, down 5.2 percent ($160 million) on the September 2019 quarter.
"International travel has dropped sharply because of the pandemic and that has affected the demand for air and other transport maintenance," Ms Chapman said.
"Machinery production was also hampered by our largest region, Auckland, returning to alert level 3 during the quarter".
