Total goods exports fell to NZD 3.83 billion, down 4.5 percent from October 2014. Milk powder, butter, and cheese led the fall, down NZD 202 million from October 2014. Goods imports fell NZD 109 million (2.2 percent), led by falls in petrol and avgas, and capital goods.
Goods exports to China rose NZD 57 million (+9.2 percent), to move China ahead of Australia as our top annual export destination. The rise in exports to China this month was led by beef, milk powder, and kiwifruit. Goods exports to Australia fell NZD 66 million (-8 percent), driven by crude oil which fell NZD 60 million.
The rise and fall of dairy exports has been driven by demand from China, and is reflected in total exports to China. China became the top export destination in November 2013, but fell below Australia from March to September 2015. However, China is now both top export destination for goods, and top source of imports. Although milk powder exported to China fell 65 percent for the year ended October 2015, it was still the largest commodity. Smaller exports such as beef and fruit have doubled in value in the past year.
Total imports shrank to NZD 4.79 billion, down 2.2 percent from the same month last year.
So far this year, New Zealand trade deficit was recorded at NZD 3.237 billion.