Overseas Merchandise Trade: April 2010

Information in this release is for the month of April 2010, compared with April 2009, unless otherwise stated.

Exports

The value of merchandise exports for the month of April 2010 was $4.0 billion, up $329 million (9.0 percent) from April 2009.

The trend in export values has been rising strongly since September 2009 (up 10.9 percent), following a 10-month decline. The trend is 3.6 percent below its peak in November 2008.

Key increases and decreases in exports by commodity grouping and by country of destination were as follows:

By commodity:

• Milk powder, butter, and cheese led the increase in export commodities, up $202 million (28.9 percent), mainly due to an increase in unsweetened whole milk powder, up $140 million, with quantity and price both higher. Anhydrous milk fat, unsalted butter, and sweetened skimmed milk powder also recorded significant increases, while cheddar cheese showed the largest decrease.

• Logs, wood, and wood articles recorded the second largest increase, up $68 million (34.0 percent), led by an increase in untreated pinus radiata logs, with quantities and prices both higher.
• Meat and edible offal recorded the next largest increase, up $63 million (11.6 percent), led by frozen lamb cuts (with bone in) and frozen boneless beef cuts. This is the first increase in meat and edible offal (compared with the same month of the previous year), following 10 months of falls.

 

• Aluminium and aluminium articles were up $33 million (53.9 percent), driven by unwrought aluminium. This is the fourth consecutive monthly increase (compared to the same month of the previous year) following 14 months of falls.
• Fruit recorded the largest decrease, down $38 million (11.5 percent), led by falls in fresh braeburn apples and kiwifruit.
• Casein and caseinates were the next largest decrease, down $15 million (23.1 percent).  

By country of destination:

• The People’s Republic of China recorded the largest increase, up $141 million (44.4 percent). This increase was dominated by milk powder, butter, and cheese, up $89 million (mainly due to a rise in unsweetened whole milk powder), with logs, wood, and wood articles (untreated pinus radiata logs) also having a significant increase (up $30 million).
• India recorded the second largest increase, up $82 million (112 percent), led by milk powder, butter, and cheese up $53 million (led by unsweetened whole milk powder, skim milk powder and anhydrous milk fat) – the largest ever monthly export of milk powder, butter, and cheese to India.
• Australia recorded the next largest increase, up $61 million (8.9 percent), led by crude oil.
• Germany recorded the largest decrease, down $18 million (22.3 percent), led by a fall in meat and edible offal.
• Indonesia was down $16 million (16.0 percent) and the United Kingdom was down $12 million (6.5 percent), recording the next largest decreases.

Imports

The total value of merchandise imports for April 2010 was $3.3 billion, down $5 million (0.2 percent) from April 2009.

The trend for total merchandise imports reached a turning point in September 2009, and has risen 10.7 percent since then. The trend is still 17.5 percent lower than its peak in September 2008.

Of the broad economic categories, military and other goods and passenger motor cars, rose in April 2010, compared with April 2009, while consumption goods, petrol and avgas, intermediate goods, and capital goods all fell.

• Military and other goods showed the largest increase, up $95 million, largely due to the import of the HMNZS Otago offshore patrol vessel.
• Passenger motor cars recorded the second largest increase, up $84 million (55.4 percent), compared with April 2009, when the lowest April value since 1998 was recorded. Imports of new diesel cars, used petrol cars, and new petrol cars with a cylinder capacity exceeding 3000cc were the significant contributors to the increase.
• Consumption goods recorded the largest fall, down $65 million (7.3 percent). Within this category, semi-durable goods recorded the largest fall, led by a decline in textiles and textile articles. Durable goods (led by mechanical machinery and equipment) and non-durable goods (led by pharmaceuticals) also fell.
• Petrol and avgas also fell, down $46 million (28.1 percent).
• Intermediate goods recorded the third largest decrease, down $37 million (2.4 percent). Intermediate goods other than crude oil fell $106 million (8.3 percent) led by a decline in petroleum and products (other than crude oil), but this fall was partly offset by a rise in crude oil, up $68 million (24.9 percent). Crude oil import shipments can be irregular, which gives rise to large fluctuations in quantities and values. 
• Capital goods also declined, down $34 million (6.5 percent), with falls in machinery and plant, down $44 million (9.0 percent), partly offset by a rise in transport equipment, up $9 million, (20.2 percent).
  

 

Key increases and decreases in imports by commodity grouping, and by country of origin were as follows:

By commodity:

• Petroleum and products recorded the largest decrease, down $121 million (19.4 percent). Petroleum and products (other than crude oil) declined $190 million, led by a quantity driven fall in automotive diesel imports. Crude oil imports increased $68 million (due to prices being over one-third higher), partly offsetting the decline in the rest of the category. Crude oil import shipments can be irregular, which gives rise to large fluctuations in quantities and values.

 

• Electrical machinery and equipment recorded the second largest decrease, down $49 million (15.7 percent), led by mobile telephones. Insulated electric conductors and computer projectors were other notable contributors to the decline.
• Optical, medical, and measuring equipment, down $20 million (16.4 percent), was the third largest decrease.
• Ships, boats and floating structures recorded the largest increase, up $90 million, due to the import of the HMNZS Otago offshore patrol vessel.
• Vehicles, parts, and accessories was the second largest increase, up $67 million (26.2 percent), driven by an increase in passenger motor vehicles. Used petrol cars with a cylinder capacity between 1500–3000cc, new diesel cars with a cylinder capacity 1500–2500cc, and new petrol cars with a cylinder capacity exceeding 3000cc led the increase.

 

• Salt, earths, stone, lime, and cement was the next largest increase, up $24 million, driven by an increase in natural calcium phosphates (with none imported in April 2009).

• Singapore showed the largest fall, down $64 million (48.0 percent). This decrease was driven by a decline in petroleum and products, with falls recorded in motor spirit, jet fuel, and automotive diesel.
• Brunei Darussalam (Brunei) recorded the second largest decrease, down $58 million (nearly 100 percent), this decrease was solely driven by a decline in crude oil, with no crude oil imported from Brunei in April 2010. Crude oil import shipments can be irregular, which gives rise to large fluctuations in quantities and values, especially by country of origin.
• The United Arab Emirates had the largest increase, up $92 million (267 percent), driven by an increase in both the quantity and price of crude oil imports.
• Russia recorded the second largest increase, up $88 million. Once again this movement was solely driven by an increase in crude oil imports, with no crude oil imported from this country in April 2009.
• Australia had the third largest increase, up $44 million (6.9 percent). A rise in ships, boats, and floating structures (up $89 million due to the import of the HMNZS Otago offshore patrol vessel mentioned earlier) led the upward movement, and offset a decline in petroleum and products (down $76 million).

Trade balance

In April 2010, the trade balance was a surplus of $656 million or 16.5 percent of the value of exports, following a surplus of 8.8 percent of exports in the April 2009 month and a deficit of 7.6 percent of exports in the April 2008 month. This compares with an average April trade deficit of 0.6 percent of exports for the previous 10 years, with a mix of surpluses and deficits recorded during this period.

 

The annual trade balance for the year ended April 2010 was a surplus of $161 million (0.4 percent of exports), compared with the average deficit of 10.8 percent of exports for the previous 10 April years. This is the first annual trade surplus recorded since July 2002, when an annual trade surplus was recorded across 14 consecutive months.

Three months ended April 2010

Exports of merchandise goods for the three months ended April 2010 were valued at $11.4 billion, a rise of $221 million (2.0 percent) from the same period of the previous year.

In the three months ended April 2010, key decreases and increases in exports compared with the three months ended April 2009 were as follows:

By commodity:

• Milk powder, butter, and cheese recorded the largest increase, up $380 million (16.9 percent), led by unsweetened whole milk powder, anhydrous milk fat and salted butter.
• Logs, wood, and wood articles recorded the second largest increase, up $172 million (31.1 percent), mainly due to untreated pinus radiata logs, with prices and quantities of these higher.
• Crude oil recorded the next largest increase, up $132 million (40.2 percent), with an increase in price and quantity.
• Aluminium increased $83 million (41.7 percent), due to unwrought aluminium.
• Aircraft and parts recorded the largest fall, down $124 million (69.5 percent) due to the higher value of large aircraft exported in the same three month period last year.
• Casein and caseinates recorded the second largest fall, down $87 million, (34.2 percent).

By country of destination:

• China recorded the largest increase, up $230 million (22.9 percent), dominated by increases in milk powder, butter, and cheese (mainly unsweetened whole milk powder) with a significant increase in logs, wood, and wood articles (led by untreated pinus radiata logs) and to a lesser extent, wool.
• Australia recorded the second largest increase, up $138 million (6.0 percent). This rise was driven by an increase in crude oil and milk powder, butter, and cheese partly offset by a fall in exports of large aircraft.
• Japan recorded the next largest increase, up $81 million (10.2 percent), driven by an increase in aluminium and aluminium articles.
• The United States recorded the largest decrease, down $201 million (15.8 percent), with decreases across several categories – milk powder, butter, and cheese being the largest (led by cheese).
• The United Kingdom recorded the second largest decrease, down $83 million (14.4 percent), led by a fall in meat and edible offal – mainly frozen lamb cuts (with bone in).
• Germany recorded the third largest decrease, down $82 million (29.5 percent), led by a fall in meat and edible offal (mainly frozen, boneless, sheep cuts and venison).

Imports of merchandise goods for the three months ended April 2010 were valued at $9.8 billion, down $116 million (1.2 percent) from the same period of the previous year.

For the three months ended April 2010, key increases and decreases in the value of imports compared with the three months ended April 2009 were:

By commodity:

• Electrical machinery and equipment recorded the largest decrease, down $247 million (24.6 percent), led by telephone sets, wind powered electric generating sets, and parts for electrical static converters.
• Mechanical machinery and equipment had the second largest fall, down $145 million (11.1 percent), with falls across a wide range of commodities. Falls in engine parts and turbines led the decline, partly offset by a rise in computers (led by laptop computers).
• Aircraft and parts recorded the next largest fall, down $64 million (41.5 percent), mainly due to no large aircraft being imported in the last three months.
• Vehicles, parts, and accessories were the largest increase, up $234 million (33.1 percent) driven by an increase in passenger motor vehicles (led by new diesel and new and used petrol cars with a cylinder capacity exceeding 1500cc).
• Ships, boats, and floating structures recorded the second largest increase, up $91 million (586 percent), mainly corresponding to the import of the HMNZS Otago mentioned earlier.
• Petroleum and products had the next largest increase, up $82 million (5.6 percent), driven by crude oil (up $450 million), with a rise in both quantity and price. The rise in crude oil was partly offset by falls in automotive diesel, partly refined petroleum, and jet fuel.

By country of origin:

• Japan recorded the largest decrease, down $198 million (22.0 percent), largely driven by a fall in automotive diesel imports, with mechanical and electrical machinery and equipment also declining. A rise in imports of vehicles, parts, and accessories provided an upward contribution.
• Singapore showed the second largest decrease, down $174 million (37.0 percent), driven by a decline in petroleum and products (other than crude oil).
• Denmark had the third largest decrease, down $142 million (77.5 percent), driven by falls in electrical and mechanical machinery and equipment.
• The United States recorded the next largest fall, down $119 million (11.4 percent), led by a fall in aircraft and parts. Other notable contributors to the decline included electrical machinery and equipment, optical, medical, and measuring equipment, and fertilisers.
• The United Arab Emirates recorded the largest increase, up $235 million (344 percent) due to an increase in crude oil. Shipments of crude oil can be irregular, which gives rise to large fluctuations in quantities and values, especially by country of origin.
• Australia had the second largest increase, up $161 million (9.0 percent). The largest increase came from ships, boats, and floating structures (mainly corresponding to the import of the HMNZS Otago mentioned earlier).
• Malaysia, up $130 million (54.2 percent), Russia, up $88 million, and Qatar, up $85 million (41.9 percent) were the next largest increases, and were all driven by increases in crude oil.

Exchange rate movements

According to the Reserve Bank's Trade Weighted Index (TWI), the New Zealand dollar was 1.5 percent higher in April 2010, compared with March 2010, and 16.2 percent higher compared with April 2009.

 

Updates to previous statistics

Provisional values published on 29 April 2010 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:
Henry Minish or Sarah Urlich
Christchurch (03) 964 8700

Email: overseastrade@stats.govt.nz.

Next release...

Overseas Merchandise Trade: May 2010 will be released on 25 June 2010.