WELLINGTON: The latest export figures from New Zealand show that the quantity of dairy commodities placed on international markets remains well below last year’s level despite a lift in prices.
According to the New Zealand statistics office, the country’s milk powder exports were down 9.4% in volume in January compared with the same month last year. Butter shipments fell by 20%.
The recent lift in prices means that the value of dairy commodities exported by New Zealand rose by 5.4%. This was evident in the milk powder trade to China, which fell by 1.7% in volume but rose by 19% in value.
“The recent rises in the value of dairy shows exporters are getting a better price for their milk powder exports than they were at this time last year,” international statistics senior manager Daria Kwon said. “The fall in milk powder quantity this month reflects this, with exporters getting more value for fewer products.”
January was the sixth consecutive month in which the volume of NZ milk powder exports decreased. At 240,000t, the country’s monthly powder exports are now backing in line with July 2015 levels, after peaking at 271,000t last July.
The latest projections from Fonterra, New Zealand’s largest dairy exporter, are for a 5% reduction in Kiwi milk production this season.
