New Zealand Trade Surplus NZ$50 Million In February

(RTTNews) - New Zealand posted a merchandise trade surplus of NZ$50 million in February, Statistics New Zealand said on Wednesday - representing 1.3 percent of exports.

The headline figure missed forecasts for a surplus of NZ$350 million following the downwardly revised NZ$33 million surplus in January (originally NZ$56 million).

Exports tumbled 13.0 percent on year to NZ$3.92 billion - well shy of forecasts for NZ$4.10 billion following the downwardly revised NZ$3.68 billion in the previous month (originally NZ$3.70 billion).

Milk powder, butter, and cheese exports led the fall, down 41 percent (NZ$647 million) from February 2014, due to lower prices and a 10 percent fall in quantities exported. Over three-quarters of the drop in value was due to falling exports to China.

"Annual dairy export values are still coming down from the highest annual level, which was in mid-2014, but quantities exported have remained fairly stable," international statistics manager Jason Attewell said. "Annual values are now 16 percent lower than for the year ended August 2014 and are at similar levels to late 2013."

Meat values rose NZ$78 million (12 percent) compared with February 2014. Frozen beef to the United States continues to push meat export values to new highs.

Imports climbed an annual 3.7 percent to NZ$3.87 billion versus forecasts for NZ$3.70 billion and up from NZ$3.64 billion a month earlier.

Consumption goods (such as clothing) led the rise, up 14 percent. Machinery and plant equipment in the capital goods category rose 13 percent, led by mobile phones (personal and business use).

Year to date, the trade deficit was NZ$2,181 million - missing forecasts for a shortfall of NZ$1,850 after showing a deficit of NZ$1,434 million in January.