Off the wire
• Indian market opens higher  • Mining company sues Aust'n state for 2 billion dollars over fracking ban  • Interview: Australia set for major economic developments in year ahead  • Interview: Australia must deepen engagement with China through multiple, "meaningful" linkages  • Australian state to hold free vote on assisted dying  • Pentagon hides evidence revealing 125 bln USD in wasteful spending: media  • Djokovic ends cooperation with coach Boris Becker  • Aussie dollar remains flat ahead of latest GDP figures  • Interview: Leading economist says China-Britain relationship can be truly golden  • New Zealand raises price for investor migrants  
You are here: 　 Home

Exchange rate, market conditions take toll on New Zealand exporters

Xinhua, December 7, 2016 Adjust font size:

A big drop in exports drove down total sales among New Zealand businesses in October, the New Zealand Manufacturers and Exporters Association (NZMEA) said Wednesday.

Total sales were down 6.81 percent from October last year, with export sales down by 20.72 percent and domestic sales up by 20.14 percent, NZMEA said.

In the three months to October, export sales fell an average of 7 percent and domestic sales rose 13.9 percent on average.

The survey sample covered 288 million NZ dollars (205.57 million U.S. dollars) in annualized sales with an export content of 56 percent.

A longer view showed export sales had been flat at an average year-on-year monthly decrease of 0.3 percent over the last 12 months, NZMEA chief executive Dieter Adam said in a statement.

"Market conditions remain the largest reported constraint to growth. Reported profitability has been trending downwards throughout 2016 for manufacturers," said Adam.

In the last three months, exports sales of both mechanical and electrical machinery and equipment had been well below the average experienced in the previous year.

"The exchange rate was again commented on as a risk to many respondents, while some did see opportunities in the Australian market," said Adam.

The high value of the New Zealand dollar has been a concern for many months with the Reserve Bank of New Zealand repeatedly calling it a headwind for exporters and describing its value as unjustified and unsustainable. Endit