KEY POINTS:
The trade deficit hit $945 million last month as New Zealand pulled in $1.36 of imports for every $1 of exports.
Both sides of the trade account were lower in dollar terms than in August last year as the exchange rate, despite its recent fall, was 11 per cent higher. Exports at $2.7 billion were 2.7 per cent lower than in August 2006, despite a $123 million boost from the first full month's production of the Tui oil field.
That was entirely offset by a $129 million decline in the value of dairy and meat exports.
Export volumes of primary produce were lower than normal, ANZ economists said in a note on the data, while there was still no sign of a material impact from rising commodity prices in export values.
"August is not typically a great month for exports," they said. "However we expect primary export volumes to rebound as the season picks up and the high commodity prices to eventually feed through."
Imports at $3.6 billion were 2.2 per cent lower than in August last year, but given the dollar's rise in the interval that indicates some growth in import volumes nonetheless.
Imports of consumer goods were essentially flat (down just 0.6 per cent on August last year) but car imports were strong, up 4.1 per cent on a year ago and consistent with a pick-up in registrations.
Plant and machinery imports were 3 per cent higher.
On an annual basis the year deficit was $6.34 billion, unchanged from the year ended July.
