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Source: New Zealand Parliament – Hansard

Question No. 2—Finance

2. BARBARA EDMONDS (Labour—Mana) to the Minister of Finance: Mālō ni, Mr Speaker. What recent reports has he seen on the New Zealand economy?

Hon GRANT ROBERTSON (Minister of Finance): The export sector continues to support the recovery. Today, Statistics New Zealand reported exports of goods rose 10 percent to $4.4 billion in September compared with the same period a year ago. The main contribution came from dairy products, with gains in prices in sales of milk powder, butter, and cheese. Statistics New Zealand noted that this was a strong start to the export season, with this month having the strongest value for exports for any September month since 2013. The meat sector also contributed strongly, with sales rising 22 percent in a month.

Barbara Edmonds: What other reports has he seen on other parts of the export economy?

Hon GRANT ROBERTSON: Well, the dairy sector continues to support the economy. Yesterday, the dairy cooperative Fonterra increased and narrowed its milk price forecast range for the 2021-22 year to $7.90 to $8.90 per kilo of milk solids from $7.25 to $8.75. The mid-point rose from $8 to $8.40, which I can see the Opposition are welcoming. This would equal the highest milk price paid out in the 2013-2014 season. It shows the dairy sector is holding up well and would see Fonterra contribute around $30 billion to the economy. We thank the dairy sector for their contribution to the economy.

Barbara Edmonds: How are exporters adapting in response to the pandemic?

Hon GRANT ROBERTSON: The 2021 ExportNZ DHL Export Barometer found that Kiwi exporters remain confident and optimistic as New Zealand continues to move through the pandemic. It shows that exporters have adapted to a volatile global environment by looking for opportunities for developing new products and services to increase export sales. Because of this, 51 percent of exporters saw an increase in their sales. The report also shows 62 percent expect international orders to increase, indicating a strong year ahead in 2022. While the survey shows exporters are mostly feeling optimistic, it also shows that they are facing challenges as we work through the global pandemic.