Steady export growth likely

''Better times to come'' are being forecast for New Zealand's primary industries sector.

Steady export growth over the next four years was predicted by the Ministry for Primary Industries in its latest Situation and Outlook for Primary Industries report.

The report highlighted the resilience of the sector and its growth prospects, MPI director of sector policy Jarred Mair said.

Total export revenue for the year ending June 2015 was expected to be $35.2 billion, down 8% in 2013-14, despite substantial expected declines in export revenue for dairy, down 22% and forestry products, down 10%.

A 1.5% increase in export earnings to $35.7 billion was expected in 2015-16. Longer-term, the outlook was for steady growth across all sectors.

Total export revenues by June 2019 were expected to be $41.3billion, a 17% increase on this year.

The past 12 months had been an example of the benefits of having a diversified production base and highly adaptable export companies, Mr Mair said.

It was a tough year, with volatility in overseas markets for some of the country's key export commodities, and challenges to production from various climatic events.

Income and population growth, combined with rising levels of urbanisation, were expected to increase per capita protein consumption in China and Southeast Asia in the long term, the report said.

That provided an opportunity for New Zealand to broaden and deepen its customer base for sustainable export growth.

Contributors to growing international demand for New Zealand products included an expected softening of the New Zealand dollar against the US dollar, and improved market access through free-trade agreements.

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