Crude oil softens export decrease

Total merchandise exports in August 2007 fell by 2.7 percent when compared with August 2006, Statistics
New Zealand said today.

The main contributors to this decrease in exports were milk powder, butter and
cheese, and meat and edible offal, both also falling below August 2005 levels.

However, a six-fold jump in crude oil exports offset most of the value of these falls.

August 2007 saw the first full month of production from the Tui oil field, contributing to the highest recorded
value of crude oil exports in any month. All crude oil exports went to Australia in August 2007, contributing
to an exports total to Australia of almost three-quarters of a billion dollars, which was also a record high for
any month.

Total merchandise exports for August 2007 were valued at $2.7 billion, (down $74 million), the fourth
consecutive month to show a decrease when compared with the same month of the previous year.

Merchandise imports were valued at $3.6 billion, down $80 million from August 2006, but still the second
highest imports value for any August month.

The monthly trade balance in August 2007 was a deficit of $945 million. All August months have been in
deficit over the last decade (with the last four the largest), with an average deficit of $569 million.