N.Z.’S OVERSEAS TRADE

Press, Volume XCII, Issue 27796, 22 October 1955, Page 2

N.Z.’S OVERSEAS TRADE

£7,200,000 Deficit Last Month

REPORT BY RESERVE BANK

(New Zealand Press Association) WELLINGTON, October 21.

During September, a deficit of £7,200,000 was recorded in New Zealand’s overseas exchange transactions, compared with deficits of £4,700,000 in August, 1955, and £12,800,000 in Septemoer, 1954, says the Reserve Bank. A deficit of £27,200,000 was recorded for the year ended September 30, 1955, compared with a surplus of £4,200,000 for the year ended September 30, 1954.

Although total receipts for last month, £24,100,000, were £5,300,000 less than in August, there was a rise in receipts for butter. All the other items decreased.

The bank says the increase in butter receipts has reflected a buoyant market. The average price for the last week in September was 371 s per cwt ex-store in London. Cheese prices also have continued to rise during the month. In the earlier part, the ex-store London price was 205 s per cwt; and for the last week of the month it averaged 234 s per cwt. Total payments last month—£3l,3oo,oo0 —were £2,800,000 less than in August. The largest decrease was in contra entries for pre-payments, but this was offset by a rise in payments for private imports and a smaller increase in “other payments.” Year’s Figures Total receipts for the year ended last month, at £316,000,000. were £37,800,000 greater than in the previous year. In the export categories wool showed a small increase, but this was offset by a greater fall in receipts for cheese. The other items showed little change. “Other receipts” showed an increase of £10,500,000, but included in this were private capital receipts, which were £6,100,000 greater than in 1954, and Government capital receipts, which showed little change over the two years, being £13.900.000 in 1954 and £14,800,000 in 1955. Total payments in 1955 —£343,200,000 —were £69,300,000 greater than in 1954. The main reason for the increase, apart from contra pre-payment entries, was the rise in private imports of £37.100,000. There was a slight fall in Government imports. “Other payments” showed a normal increase, the bank says. The following table sets out receipts and payments for (a) September, 1954; (b) September, 1955; (c). the year ended September 30, 1954; and (d) the year ended September 30, 1955:

(a) £000 (b) £000 (c) £000 (d) £000 Exports— Butter 1.129 5.901 43,083 43.433 Cheese 176 1,672 18.257 11.927 Meat 5.368 6.038 54,593 53.694 Wool 2,571 2,952 91.071 94,797 Otter 2,651 3.017 34,200 34,652 Total exports 11,895 19,580 241.203 233.503 Other receipts 1,975 2,293 36,940 47,391 Export prepayments — 2,220 * — 30,083 Total receipts 13,870 24,093 278.143 315,977 Governm ent. P^-’ments — DelTc interest 605 781 2,800 3,147 Imports 1.250 1.479 21.979 19,959 Other 1,589 196 12,351 14,545 Priv. imports 20,386 22,455 205,743 242.886 Other payments 2,800 3,246 31,058 35,895 Contra prepayments .. — 3,102 — 26,753 Total payments 26,830 31,263 273,937 343,185 Balance: —12,760 -7,167 +4,206 —27.298