Manufacturing sales volume falls but values up

Dairy product prices were up nearly 30px in the last quarter, says Stats NZ. Photo / Sarah Ivey

The volume of manufacturing sales fell a seasonally adjusted 2.7 per cent in the March quarter, dropping to its lowest point in almost 10 years, mainly due to a fall in meat and dairy sales.

Despite the drop in volume, manufacturing values rose 0.9 per cent or $171 million, due to increased prices, particularly for dairy products, Statistics New Zealand (SNZ) said today.

Meat and dairy manufacturing volumes fell a seasonally adjusted 10.1 per cent in the quarter, while the value of sales in the sector rose 1 per cent or $52m, with dairy product prices up 29.6 per cent, and meat and meat product prices up 4.9 per cent.

The latest rise in meat and dairy manufacturing sales value followed three quarters of falls totalling 22 per cent, SNZ said.

The volume of manufacturing, excluding meat and dairy products which account for more than a quarter of manufacturing output, rose a seasonally adjusted 1.3 per cent in the March quarter.

The other food manufacturing category recorded a 9 per cent fall in volumes, while basic metal manufacturing was up 14.3 per cent in the latest quarter, and petroleum and industrial chemical manufacturing was up 8.4 per cent.

The value of sales for the other food category fell 8.4 per cent or $194m in the latest quarter, while petroleum and industrial chemical manufacturing values rose 10.3 per cent or $71m, and machinery and equipment manufacturing was up 3.2 per cent or $52m.

- NZPA