New Zealand’s International Trade

Towards an integrated approach

February 2011

Outline

Institutional arrangementsInternational frameworksInternational trade in services surveyLongitudinal business databaseOptions for further integration.

2

Institutional arrangements

Overseas Merchandise Trade • Based in Christchurch• Part of Industry and Labour Statistics area• Monthly release of statistics• Works closely with New Zealand Customs Service• Solely use administrative data.

3

Institutional arrangements

Services data collected by Balance of Payments • Based in Wellington• Part of Macroeconomic and Environment Statistics • Quarterly release of goods and services statistics• Enterprise surveys

– international trade in services– goods on consignment

No plans to integrate these two areas.4

Framework

BoP goods and services on a BPM5 basisBPM6 work planned from 2012-14Priorities within BPM6 implementation, and extending into MSITS 2010, must be user drivenKey users are interested in a more integrated approach.

5

International trade in services survey (ITSS)

Full coverage for June 2011 year as extracted from the Statistics NZ Business FrameJoint survey with Ministry of Foreign Affairs and Trade (MFAT)• co-funded• share unit records• declaration of secrecy• input into questionnaire design.

6

ITSS redesign

New questions likely to include:• contract manufacturing fees for processing goods• sales of goods manufactured abroad• published software delivered electronically• EBOPS and GATS W120 updates• mode of supply: “How were these services

delivered?”

7

ITSS dissemination

Data incorporated into BoP current accountStand alone ‘commercial services’ report to be published in February 2012 will include:• detailed categories• partner country and economic groupings• industry breakdowns

Longitudinal Business Database (LBD).

8

What is the LBD?

A longitudinal dataset of integrated business-related dataPrototype created in December 2007Aim is to produce new information from existing data and without additional respondent burden.

9

Structure of the LBD

Microsoft SQL server databaseAggregates input data to give yearly information at enterprise level for each data sourceCan be easily queried from SQL or SAS150 gigabytes in size (including 10 gigabytes of indexes).

10

What’s in the LBD?

11

Longitudinal Business Frame

Contains longitudinally linked data for most enterprises operating in NZ. Includes information on: • employment• location • industry• ownership relationship

Allows individual business to be tracked over time.

Administrative data

• Annual Enterprise Survey

• Business Operations Survey

• Manufacturing and Energy Use Survey

• Business Finance Survey

• Research and Development Survey

• International Trade in Services and Royalties

Survey data

• Goods and services tax data

• Financial accounts (IR10)

• Company tax returns (IR4)

• Linked Employer Employee Database

• Overseas merchandise trade

• Government assistance data

Longitudinal Business Database

Protocols for using the LBD

Integrating data raises issues around privacy, confidentiality, and security• access is granted to government employees for

research purposes• non-departmental research access is by secondment• anonymised data accessed only through the Data Lab• outputs subject to confidentiality checks.

12

Initial research results

MFAT initiated and funded integration of the ITSS into the LBDComparisons of goods and services exporters• employee count• foreign ownership• profit• productivity• market analysis.

13

Examples of research

Exporting and firm performanceEntrepreneurship and trade growthExporters’ currency hedging behaviourExport market choices of New Zealand firmsLBD homepage

14

Where to from here for the LBD?

Work in progress – new datasets can be addedAdd International Investment Survey data – possible foreign affiliate statisticsFrom existing LBD datasets:• Impact of exchange rate volatility on exporters• Intensive v extensive exporting• Global financial crisis analysis

15

Options for further integration

More detailed BoP goodsIncreasing bilateral data for services to allow presentation of total goods and services tradeNo plans for:• intra-group trade in goods and services• integrated industry-based presentation.

But… new opportunities may arise!

16

Thanks!» Matthew Haigh» Project Manager: BoP Commerce & Development» Statistics New Zealand» Email: matthew.haigh@stats.govt.nz» Phone: +64 4 931 4862

» Yolandi de Beer» Statistical Analyst: Business Infrastructure & Performance» Statistics New Zealand» Email: yolandi.debeer@stats.govt.nz» Phone: +64 4 931 4342

17