Agriculture a major influence on economy
The Timaru District economy is strongly influenced by its agricultural heritage. From its birth in pioneering sheep farming, our richly productive agricultural sector has grown to become New Zealand's "food bowl".
Today's farming is heavily influenced by dairy, with horticulture, intensive cropping, meat and wool also playing an important role. Significant manufacturing, processing, engineering and distribution operations contribute to extensive export and domestic supply of a wide range of goods and services.
This provides an array of employment opportunities across all sectors from trades and manufacturing to the professional, service and primary sectors. The Timaru District prides itself on having one of the lowest unemployment rates in New Zealand.
The wider South Canterbury region enjoys reliable and accessible water for irrigation and industry - indeed some of the most affordable resource in the country. This continues to provide the impetus for the development and growth of successful food processing and exporting operations. Large scale investment in water storage, quality and management is continuing, helping to ensure a robust, diverse economic future for the District.
Timaru District – Quarterly Economic Monitor Report March 2026
Highlights:
GDP
Timaru District was provisionally up 0.5% for the year to March 2026, compared to a year earlier. Growth was higher than in New Zealand (0.4%) and was lower than in Canterbury Region (1.2%). Provisional GDP for year was $4,197 million.
Dairy payout
Timaru District's dairy payout for the 2025/2026 season is expected to be approximately $571 million, $6 million lower than last season, assuming that production levels from last season are maintained.
Business counts
The number of business units in Timaru District was up 2.2% for the year to March 2026, compared to a year earlier. Growth was higher than in New Zealand (1.2%) and was lower than in Canterbury Region (2.6%). The number of business units in Timaru District reached an annual average of 5,826 in the year to March 2026, up from 5,700 in the previous 12 months.
Consumer & visitor spending
Consumer spending showed an increase of 1.6% over the year, while the visit spend rose by 11.6%
House sales and values
Activity in Timaru’s housing market picked up considerably, with a 23.7% increase in the period, and house values rose .8% with the average current house value $523,658, compared with the national average of $871,831.
View the full report here:
Timaru District offers a great lifestyle with abundant opportunities. Find out more from residents who've moved here about what Timaru District offers for their lifestyle.
“Farmers Mill have chosen Timaru, South Canterbury to build our state-of-the art flour mill. The district is central to the arable land which produces the wheat we use to mill 100% NZ Flour. We find the district has a strong economic profile and the services and people we require to build a world class business.”
Murray Turley, Chairman, Farmers Mill, Timaru