The Prices Of Key Export Commodities Have Risen For The Second Consecutive Month

The prices of key export commodities have risen for the second consecutive month, driven by dairy and horticulture. ANZ World Commodity Price Index – which measures New Zealand’s main exports – gained 2.9% in September although prices were still nearly 7% lower than a year ago. Dairy and horticulture saw strong increases, offsetting weaker prices for lamb and logs. A softer New Zealand dollar also lifted local currency returns for producers. There were strong gains in kiwifruit with the horticulture index rising 8.8%. The kiwifruit export season has now finished much earlier than normal with the crop considerably smaller this season, so picking, packing and distributing fruit was achieved within a shorter time frame. Aluminum and forestry both saw increases. Log prices are nearly 10% lower than a year ago but China’s demand for logs is steady and stocks of logs on wharves [in China] are declining.