New Zealand arable sector shows signs of recovery

Chris Dillon, chair of the Federated Farmers arable industry group, highlighted modest improvements in New Zealand’s arable sector while warning of ongoing challenges. He noted that higher wheat prices – $620‑$585 per tonne for the 2027 season – are helping margins, but uncertainty over diesel and fertiliser costs keeps profitability tight. Dillon urged greater returns to growers and emphasized the need for both price and volume growth to sustain the sector.

Export performance remains resilient, with high‑value ryegrass and vegetable seeds largely destined for Europe, accounting for about 42% of arable exports and generating roughly $133 million in the year to March 2026. Overall arable export revenue is expected to rise 3‑5% over the next few years, reaching about $355 million by 2027‑28, according to the Ministry for Primary Industries.