Trade balance takes usual August dip, annual surplus over $1bn
The trade balance took its usual August drop last month, falling into a $641 million deficit.
The trade balance took its usual August drop last month, falling into a $641 million deficit.
The annual balance is still in surplus, by just over $1 billion. Since 2001, the annual figure in August was always in deficit, until there was a small surplus last year.
Exports typically fall in August due to the seasonal drop off in farm production. However the value of exports this August is still up on last year, by $313 million, Statistics New Zealand said this morning.
And in a reflection of changing world growth trends, exports to the United States dropped $27 million or 9.8% over the month, spread over all commodities.
Exports to China rose the most, up $117 million or 47%, with exports to Australia also up, by $109 million or 12%.
Imports rose more than exports over the month: however the make-up of those imports is also telling.
The big increases were for industrial inputs and capital investment. Imports of industrial supplies rose $76 million, or 8.9%, for the month, spread over a range of industrial inputs with only fertiliser imports standing out as significant with a 42% monthly rise.
Imports of plant and machinery continued to rise, up $87 million or 16.6%. Overall, imports of capital goods rose $130 million or 22%.
This has been the significant aspect of New Zealand’s slow economic recovery: the main increases in imports have been for capital equipment and business inputs of various kinds.
Imports of consumption goods have been much more moderate. There is a jump this month, by 6.9%, led by semi-durable goods and processed food. However a similar rise happened last year, as part of the build-up to Christmas, and it fell away again in December and stayed flat for the next eight months.
Rob Hosking
Mon, 26 Sep 2011
Mon, 26 Sep 2011
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Trade balance takes usual August dip, annual surplus over $1bn
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