The country's trade deficit has widened to $963m.

That's almost $100m more than at this time last year.

Exports have been falling more than imports, but both are lower overall.

The dairy downturn is largely responsible for the drop, with milk powder, butter and cheese exports falling by just over $200m.

China has become the top annual export destination for New Zealand, nudging out Australia.

China's also New Zealand's number one source of imports.