Long-term outlook for agriculture sector revenue looking good

25 February 2000

Agricultural sector revenue is projected to rise 18 percent from $11.30 billion in 1999 to $13.29 billion in 2003, according to the Ministry of Agriculture and Forestry’s publication Situation and Outlook for New Zealand Agriculture and Forestry (SONZAF) released today.

The increase largely reflects a growth in the dairy, beef, lamb, fruit and agricultural service categories.

The outlook for agriculture and forestry looks promising, despite the lingering effects of national and international problems of the past few years such as the Asian financial crises, the Russian financial crises, a weak Brazilian economy, the depreciation of the New Zealand dollar, and domestically, two seasons of drought.

The promising outlook to 2003 is underpinned by improving world growth prospects and continuing low exchange rates for the New Zealand dollar with respect to major trading partners. Stable to rising prices for key export products are expected, together with some recovery in sheep and beef numbers, rising dairy herd numbers, expanding wool harvest volumes, and continuing productivity growth.

The SONZAF publication is primarily available on the MAF website. It includes detailed production and price projections for New Zealand’s major agriculture and forestry industries which includes dairy, beef, lamb, wool, venison, velvet, kiwifruit, apples, logs, lumber, wood pulp, paper, products and panels.

Last year’s was to have been the last SONZAF published by the Ministry but due to continued requests from within New Zealand and overseas, access to the information has been reactivated, via the MAF website.

The statistical and forecast information in SONZAF is primarily prepared for government purposes. However, there is value in making it available to a wider audience in the agricultural, horticultural and forestry sectors.

The Ministry of Agriculture and Forestry is the lead agency in ensuring land-based production sectors are able to make an optimal contribution to New Zealand’s economic and social well-being.

For further information contact:

Rod Forbes, Senior Policy Analyst, MAF Policy. Telephone: 04 474 4222 or email: forbesr@maf.govt.nz

Contact MPI

for general enquiries phone

0800 00 83 33