Key Findings from the 2024 ExportNZ Barometer Report

The 2024 ExportNZ DHL Export Barometer Report has revealed a dynamic and evolving landscape for New Zealand exporters. Despite facing significant challenges, exporters have shown resilience and optimism about the future.

Read on to learn about the key findings and insights from the report.

About the ExportNZ DHL Export Barometer Report

The ExportNZ DHL Export Barometer is an initiative aimed at analysing export confidence in New Zealand and identifying export trends. It is based on nationwide research, examining the business outlook of exporters, highlighting changes in overseas market demand and providing insights into the factors impacting on New Zealand’s export trade.

The report, conducted in June, 2024, included responses from 271 companies across New Zealand. The respondents represented a diverse range of industries, with manufacturing being the largest segment at 39%. The regional distribution included Auckland (40%), Wellington (14%), the rest of the North Island (25%), Canterbury (15%), and the rest of the South Island (7%).

The key industry segments targeted are: Manufacturing (39%), Online Retail (9%), Professional Scientific & Technical Equipment (6%) and Agriculture, Forestry & Fishing (9%).

While the majority of respondents comprise businesses that have been exporting for more than 20 years (49%), 23% have been exporting for 11–20 years, 13% have been exporting for 6–10 years and 15% have been exporting for five years or less.

Positive Export Performance and Future Outlook

Over the past 12 months, New Zealand exporters have experienced a net increase in export sales. A net 18% of respondents reported increased exports, and the confidence for the coming year is even higher, with a net 61% expecting further increases. This optimism is supported by an expansion into more overseas markets, with an average of 4.6 markets in 2024 compared to 4.2 in 2023. Key markets include Australia, the USA, Europe, and the UK, bolstered by New Zealand’s recent Free Trade Agreements.

Rising Costs and Supply Chain Challenges

However, the export sector is not without its hurdles. A staggering 89% of respondents reported increased business costs, with 40% experiencing hikes of 20% or more. Supply chain and logistics costs have also surged, with 85% noting increases, including 10% who faced spikes of 50% or more. These cost pressures are driven by geopolitical tensions, regulatory barriers, and new issues such as the hostilities in the Red Sea and low water levels in the Panama Canal, which have disrupted shipping routes and increased transit times.

Government Support and Strategic Changes

Exporters have adapted by implementing measures to tackle rising costs and other barriers. The report highlights a growing need for government support, particularly in areas such as attendance at trade shows, R&D, and market research. Exporters believe that a coordinated NZ Inc. presence at international trade shows and easier access to research and development support would significantly benefit their operations.

Focus on Sustainability

Sustainability has emerged as a crucial consideration for exporters. Almost two thirds (62%) of exporters said sustainability is very important or important to their logistics and supply chain. 

The report indicates that exporters are almost twice as likely to prioritize sustainability in their logistics and supply chain decisions. However, many lack concrete sustainability targets or goals, suggesting a need for more guidance on implementing sustainable practices. Exporters are increasingly monitoring and measuring their supply chain impacts, such as emissions, and seeking efficient shipping options.

At DHL Express we offer a service called GoGreen Plus which allows customers to actually reduce the carbon emissions of their international shipments.  This is achieved using Sustainable Aviation Fuel (SAF) to power our aircraft.  Sustainable Aviation Fuel is produced from alternative feedstock for example used cooking oil and waste and is blended with traditional jet fuel preventing emissions at the source for each flight.  It is the green alternative to traditional jet fuel. 

Actions to Increase Export Orders

Exporters are taking dynamic actions to boost their export orders. Many have developed new products or services, improved business processes, and enhanced their online presence. The use of online platforms like company websites, Facebook, and Instagram for generating export sales has become more prominent. Additionally, there has been increased investment in R&D, new sales and marketing approaches, and allocating more resources to export activities.

DHL's Digital Solutions for Exporters

To equip exporters with the knowledge and expertise needed to navigate the global marketplace, DHL has developed a comprehensive suite of digital solutions. These tools enable resource-constrained SMEs to better manage cross-border shipping logistics as they import and export goods from multiple sources and locations.

As companies start shipping, having visibility of the shipment’s journey becomes useful as a preventive measure to minimise delays.

Watch the ExportNZ DHL Export Barometer Webinar

For more detailed insights and discussions on the findings from the report, watch the ExportNZ DHL Export Barometer Webinar.

In this session, Selina Deadman, Vice President Commercial New Zealand, and Joshua Tan, Executive Director ExportNZ, discuss how Kiwi exporters can reduce their export costs and navigate the challenges ahead.

The 2024 ExportNZ DHL Export Barometer Report underscores the resilience and determination of New Zealand exporters in the face of ongoing challenges. While rising costs and supply chain disruptions pose significant hurdles, the positive outlook and strategic adaptations by exporters highlight their commitment to growth. Increased government support and a focus on sustainability will be crucial in helping New Zealand’s export sector thrive in the coming years.

DHL Express and ExportNZ remain dedicated to supporting New Zealand exporters, providing the necessary resources and advocacy to navigate the evolving global trade landscape.