- Jason Attewell, Statistics New Zealand
New Zealand trade surplus shrank in April as whole milk powder exports to China fell. According to Statistics New Zealand, the trade surplus was $NZ123 million in the reported month, compared with $NZ100 million expected by economists and $NZ754 million surplus in March. New Zealand logged an annual trade deficit of $NZ2.62 billion, marking the largest deficit since June 2009. Annual exports to China, New Zealand's leading trading partner, plummeted 26% in the year through April to $NZ8.45 billion, largely due to weaker demand for commodities such as whole milk powder. Softer Chinese demand for New Zealand dairy products, coupled with lower international commodity prices and rising import bill weigh on the nation's trade balance.
Exports of milk powder, butter and cheese, New Zealand's biggest commodity export group, plunged 27% to $NZ888 million in April from the same month a year earlier due to lower quantities for whole milk powder and lower prices overall. Imports in April climbed 2.6% to $NZ4.04 billion from the year earlier. Imports from China surged 8.2% year-on-year, as New Zealand purchased trains from the Asian nation, while imports from the EU soared by 7.8% due to the purchase of an aircraft from France.
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