New Zealand Trade Deficit Widens in October

New Zealand's trade gap increased to NZD 908 million in October of 2014 from a NZD 169 million shortfall a year earlier. It is the largest October deficit since 2008, as exports to China fell sharply and imports of capital goods increased.

In October 2014, goods exports were valued at NZD 4 billion, down 5.1 percent from October 2013. Milk powder, butter, and cheese, the main export group, fell 24 percent to NZD 1.1 billion. Milk powder was the main driver, down NZD 414 million (38 percent).

Exports to China fell 40 percent, with exports of milk powder falling 77 percent while exports to Australia rose 4 percent, mainly due to crude oil (up NZD 78 million).

The value of imported goods rose 12 percent to NZD 4.9 billion, compared with October 2013. The rise was across all three main broad economic categories, led by capital goods (31 percent) including aircraft, helicopters, and goods vehicles.

Imports from the European Union increased NZD 175 million (26 percent), mainly due to aircraft and helicopter imports from France.

New Zealand Trade Deficit Widens in October

Statistics New Zealand | Ricardo Martins |
11/27/2014 11:11:51 AM