Primary sector export revenue has grown.
The Government says food and fibre export earnings reached a record value of $57.4 billion for the year to 30 June. This was $1.2 billion more than had been forecast.
The Agriculture and Trade and Export Growth Minister Damien O’Connor says this is a new high for the sector and adds it is up $4.3 billion on the figure a year earlier.
"The focus on trade and export growth remains a major cornerstone in our Government's economic recovery plan," O'Connor says, citing Free Trade Agreements (FTAs) with the EU and UK and the upgrade to the China FTA..
"These are resulting in more export opportunities and more value being derived," he says.
"Our job now is to continue supporting our producers.....and to work together to maintain our international competitive edge to ensure New Zealand's economy remains better positioned than many others against global headwinds."
O'Connor says he wants to thank food and fire producers for result, and he adds further growth is forecast, with exports predicted to reach $62 billion by 2027.
Broken down, the figures show dairy export revenue grew to a record $26 billion. Horticulture rose 4% by $254 million, seafood grew 9% by $178 million and arable rose 8% by $21 million.
Processed foods were also strong.
O’Connor says looking back further, food and fibre exports had jumped 50% since 2017.
14 Comments
I'm trying to pick up more land, and despite it enabling me to nearly double my income I might as well be asking for the bank manager's first born. I also wanted to build a commercial workshop up near the road frontage, and was told they'd happily lend me the money once it's been built.
Indeed, this article looks like a bit of a rush job. I was looking for meat numbers as well, having a keen interest in eating meat.
I'm trying to work out this paragraph:
Broken down, the figures show dairy export revenue grew to a record $26 billion. Horticulture rose 4% to $254 million, seafood grew 9% to $178 million and arable rose 8% to $21 million.
So, I assume, total dairy was 26B however the other figures certainly are not totals. Seafood exports are close to 2B so 178M is the growth amount of around 9%
This is good news, but should be expected. This must include a lot of inflation? , and considering on farm cost inflation is way ahead of overall inflation, the income needs to be ahead of the costs to be anything to crow about.
Next year will most likely read very different.
Need to look at the big picture on this. The behaviour that i notice in rural NZ is very different to a year ago. In general, rural folk are very cautious. The farm retail stores are reporting very low spending. Discretionary spend is winding back big time. This will filter through to the big centres in time. There is always a lag effect, which has not been realised yet, and I think will be much worse than what the current govt are expecting.
A rural expert was recently asked, how does the general situation compare to the 80s? Reply was "better, we now have equity in land". Hmmmm, but we also have considerable debt (yes it is relative to equity), but I dont see many farms selling. If more come to market, you dont need to be an expert to know what happens there!
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