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Demand from China Driving Rise in NZ Primary Exports

06 April 2017

NEW ZEALAND - New Zealand's primary sector exports are forecast to rise 1.4 per cent over the year to the end of June, with China being the biggest market overall, according to a government report out on Tuesday.

Total primary industry exports were forecast to hit NZ$37.5 billion ($26.25 billion) in June year, driven by strong growth in dairy exports, said the report from the Ministry for Primary Industries.

"Strong global prices for forestry and dairy products, combined with rising horticulture production volumes, more than offset falling beef and lamb exports due to lower stock numbers in our latest forecast," it said.

As well as being the biggest overall primary exports market, China was the biggest market for exports of dairy, meat and wool, forestry and seafood.

"Next year overall primary sector exports are expected to grow by 9.7 per cent to NZ$41 billion," Primary Industries Minister Nathan Guy said in a statement.

"It shows we have a strong and diversified primary sector with sectors like forestry and horticulture continuing to do well. It's also pleasing to see dairy on the rebound after a tough few seasons," said Mr Guy.

"This year is likely to be more challenging for the sheep meat sector with market volatility and the UK's exchange rate fluctuations."

ThePigSite News Desk

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