New Zealand Terms Of Trade Contract 1.9% In Q4
March 01 2015 - 5:15PM
RTTF1
New Zealand's merchandise terms of trade slipped 1.9 percent on
quarter in the fourth quarter of 2014, Statistics New Zealand said
on Monday - falling for the second straight quarter after six
consecutive quarters of gain.
That beat expectations for a contraction of 2.3 percent
following the 4.4 percent drop in the third quarter.
Export prices for goods fell 1.8 percent on quarter, the data
showed, while import prices added 0.2 percent.
Seasonally adjusted export volumes rose 1.5 percent, while the
price of exported goods fell 1.8 percent, both led by dairy.
Excluding dairy, export prices rose about 4.9 percent. Higher meat
and forestry prices partly offset the fall in dairy prices.
"Dairy prices fell 15 percent in the December quarter," prices
manager Chris Pike said. "They are now 28 percent below a recent
peak in the March 2014 quarter, and are at their lowest level since
early 2013."
Seasonally adjusted dairy values fell 9.6 percent, while
seasonally adjusted volumes rose 2.7 percent.
Meat prices rose 12 percent, influenced by higher prices for
beef. Beef prices rose 23 percent to reach their highest level
since the series began in 1971. Seasonally adjusted meat volumes
rose 4.2 percent and values rose 15 percent.
Forestry prices rose 8.4 percent, influenced by higher prices
for pine logs. Seasonally adjusted forestry volumes rose 7.4
percent and values rose 13 percent.
Seasonally adjusted import volumes rose 1.6 percent, led by
intermediate goods. Imported goods prices were up 0.2 percent.
There were several upward contributors, influenced by the lower New
Zealand dollar, particularly against the U.S. dollar. Offsetting
these increases was a 10 percent fall in the price of petroleum and
petroleum products.
The services terms of trade tumbled 3.2 percent on quarter as
services export prices jumped 1.4 percent and services import
prices spiked 4.7 percent.
The price and volume indexes for exports and imports of goods
are compiled mainly from overseas merchandise trade data, the
bureau said.