Food exports increase in 2022

Total exports saw a growth of $8.7 billion (14 percent) to $72.2 billion in the year ended December 2022 compared with 2021, Stats NZ said today.

Annual imports also rose sharply to $86.7 billion, up $16.1 billion (23 percent).

“Price inflation has been a topic of interest in 2022, and we’re seeing the results of it in these large increases,” international trade manager Alasdair Allen said.

“Many major export commodities eased in volume but saw price increases drive higher values across the year.”

Rising import prices drive increase in trade deficit has more information.

Dairy, meat, and other animal products lead increase in exports

The largest increase for the year ended December 2022 was for milk powder, butter, and cheese. This is New Zealand’s largest export commodity group, making up 28 percent of total exports over the year. The combined export value of this group increased $3.5 billion (21 percent), to reach a new high of $20.6 billion. This increase was price driven, as quantities fell 7.3 percent over the same period.

Within the milk powder, butter, and cheese category, all commodities saw large export price increases. Milk fats were the only exports in this commodity to rise in quantity, compared with 2021.

• Milk fats (including butter) led the rise in value, up $1.6 billion (54 percent) to $4.5 billion. Price per kilogram rose 37 percent.
• Milk powder was up $968 million (9.8 percent) to $10.8 billion. Price per kilogram was up 26 percent.
• Cheese rose $547 million (26 percent) to $2.7 billion. Price per kilogram was up 33 percent.
• Milk and cream rose $201 million (16 percent) to $1.4 billion. Unit value was up 19 percent.
• Whey and other natural milk constituent products were up $175 million (22 percent) to $968 million. Price per kilogram rose 45 percent.
• Buttermilk and yoghurt were up $58 million (34 percent) to $232 million. Unit value was up 34 percent.

Counted outside this category, other dairy-based commodities also saw growth.

• Casein and caseinates rose $602 million (48 percent). Quantities fell 3.6 percent, while price per kilogram rose 53 percent.
• Preparations of milk, cereals, flour, and starch (include infant formula) rose $435 million (21 percent). Quantities rose 3.1 percent, and price per kilogram rose 18 percent.

Meat also contributed to the rise in annual exports, up $1.1 billion (12 percent) to $9.8 billion. Quantities fell 5.5 percent, and price per kilogram rose 19 percent.

• Beef rose $811 million (20 percent). Quantities fell 4.4 percent and price per kilogram rose 26 percent. The top three destinations for beef were China ($2.1 billion), the United States of America ($1.3 billion), and Japan ($349 million).
• Sheep meat rose $239 million (5.8 percent). Quantities fell 5.1 percent and price per kilogram rose 12 percent. The top three destinations for sheep meat were China ($1.6 billion), the European Union ($950 million), and the United States of America ($590 million).

Other meat-related commodities to rise in 2022 were sausage casings (up 59 percent to $143 million), tallow (up 16 percent to $278 million), and dog and cat food (up 16 percent to $390 million).

Other animal products to see an increase in exports were fish and crustaceans, up $131 million (7.7 percent), and live animals, up $66 million (14 percent). The increase in live animals was driven by live cattle, in advance of the ban on livestock exports by sea, effective 30 April 2023. Honey fell $43 million (9.4 percent), with quantities down 13 percent.

Horticulture exports see falls in export values due to lower volumes

Fruit fell overall in 2022, with the value down $90 million (2.3 percent). Quantities of fruit were also down, falling 7.7 percent.

Kiwifruit led the fall in fruit, down $141 million (5.1 percent). Quantities fell 8.9 percent, while price per kilogram rose 4.2 percent. Of this, green kiwifruit fell $220 million (24 percent) in value, due to lower quantities. Gold kiwifruit rose $80 million (4.3 percent).

“It was a tough season overall for fruit,” Allen said.

“Kiwifruit diseases, labour shortages, and unseasonable weather patterns all played a role in the figures we’re seeing, characterised by lower quantities.”

Avocados also fell $31 million (28 percent), due to lower quantities.

Partly offsetting the falls was a rise in apples, up $55 million (6.6 percent). Quantities fell 4.2 percent, and price per kilogram rose 11 percent. Cherries also rose $30 million (63 percent), with quantities rising 56 percent.

Vegetables also fell, down $17 million (3.5 percent). Leading the fall was squash, down $19 million (22 percent), and onions, down $16 million (11 percent). Partly offsetting these falls was a rise in potatoes, up $7.5 million (40 percent).

“The fall in onions could be linked to the unusually dry season, as well as raised costs in production materials such as fertilisers and diesel,” Allen said.

Wine exports rose $299 million (15 percent), with both quantities and price per litre rising (up 5.9 percent and 8.8 percent respectively).

Chocolate exports rose $64 million (68 percent), while seeds, raw peanuts, and soya flour fell $47 million (16 percent).

Logs, wood, and wood articles fell $253 million (4.6 percent), with logs leading the fall, down $416 million (10 percent).