Integrating value chains to reward sustainable land use practices

Abstract

An unusual feature of the New Zealand economy compared to other developed countries is that it has a relatively low ratio of exports to gross domestic product, but the percentage of merchandise exports devoted to agri-food products is very high (Dalziel et al, 2017). Indeed, the country’s primary production is focused on exports. This is shown in Figure 1, which depicts the share of final sales that is exported for the major agri-food industries in New Zealand; with two exceptions, the share is more than 70 per cent, rising to 90 per cent for dairy products. Consequently, global agri-food value chains are very important for New Zealand’s economic wellbeing.