lørdag 24. april 2021

New Zealand's trading relationship with China is worth $19b and experts say that leaves the country 'significantly exposed'

In New Zealand, dairy farmers produce far more milk than a nation of 5 million people can consume. In fact, there are about the same number of dairy cows in New Zealand as there are people. Farmers will say the land is naturally blessed when it comes to producing milk — the climate is cool and the rain can be relied on.

Cattle run in paddocks and can be mostly grass-fed throughout their lives. The result is a highly sought after dairy product and New Zealand's biggest customer is China. Just outside of Auckland, Chris Guy runs a dairy farm that's been in the family for six generations and he's very aware of how his patch of land is connected to the country's biggest trading partner. The young farmer watches the global milk price, knowing any dip or volatility impacts the decisions his family makes for the property as well as the more personal parts of life.

Right now, things are good. Increasing demand for milk from China throughout the pandemic pushed the global price higher and for a country that exports up to 96 per cent of its dairy product, that meant a boost for farmers.