5 Oct 2016

NZ commodity index hits 17-month high

6:22 pm on 5 October 2016

Stronger dairy prices have helped drive New Zealand's commodity index to a 17-month high, despite the strong currency.

The ANZ Bank's commodity price index rose 5.1 percent in September on the month before, the fifth consecutive monthly gain.

Dairy prices dominated the rise, with a 15 percent month-on-month gain across all product categories.

The strong dollar had been a challenge for exporters, with a 7 percent appreciation since May.

Outside of dairy, price gains were confined to lamb and kiwifruit.

The non-dairy index fell 1.3 percent, with flat to lower prices in 10 out of 12 commodity-sectors.

The largest price declines were for apples, wool and beef.

The commodity price index rose 11 percent in September over the year earlier.