New Zealand's trade deficit jumped to its highest level for nearly three years in September, official figures showed, as falling commodity prices hurt exports and imports surged on high oil prices.
The monthly deficit of $1.18 billion for the month was the highest since November 2005, Statistics New Zealand said.
The deficit was much higher than expected, with a Dow Jones Newswires poll of economists forecasting a shortfall of $550 million.
For the year to September, the trade deficit came to $4.99 billion, up from a revised $4.37 billion in the year to August.
Statistics New Zealand said the monthly trend of exports has been easing this year following strong growth in the second half of last year.
"The monthly trend has slowed further since March 2008 and has increased at an average rate of 0.3% per month since then," it said.
Exports in September rose eight per cent from a year earlier to $3.17 billion, but were down from $3.59 billion in August this year.
Economists say New Zealand's exports are being hurt by falling global commodity prices as financial turmoil cuts demand.
Deutsche Bank chief economist Darren Gibbs said there was a significant export slowdown in key farm commodity sectors, the minerals sector and manufactured goods.
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Dairy exports, which make up about a sixth of total shipments, fell 4.8% from a year earlier to $530 million in the month of September as world prices eased in line with global demand.
An earlier boom in global prices saw dairy exports rise 42.4% in the year to September.
Imports rose 24.1% to $4.35 billion in September from a year earlier, largely driven by high oil prices, with shipments up 35.3% to $622 million.
Mr Gibbs said consumption goods imports were up 13.3% in September, compared with a year earlier:
"We think that such growth, possibly driven by an earlier boost in optimism prior to the recent escalation of troubles in global financial markets, cannot be sustained and we expect much weaker outcomes over coming months," he said.
