Trading in a Chokehold: NZX Directors and their Supply Chain Risk

The August 2026 results of our boardroom performance measurement service

Being a small, isolated country on the other side of the planet to many, New Zealand has been, and will continue to be, an open-market dependent economy, one that is heavily reliant on international trade.

With geopolitical shocks such as tariffs, trade route blockages, and wars being increasingly prevalent in the past six years, NZX-listed companies have been able to navigate these storms in impressive ways thanks to their Board of Directors. However, with fuel prices understandably dominating recent attention, the next economic chokehold shows that the vulnerability runs deeper, cascading through supply chains far beyond the pump.

Throughout July 2026, there has been an increased assessment and consideration of global trade routes. Using DHL’s latest Export Barometer Report, 87% of New Zealand exporters faced increased shipping costs this past year (up from 72% in 2025). Those escaping unscathed are a vanishing crowd too, with respondents reporting zero supply chain disruption plummeting from 15% to a mere 7%. This squeeze is hitting both ends of the pipeline, creating a severe margin crush for importers and exporters alike.

Take the primary sector: the drawn-out closures and shipping restrictions at the Strait of Hormuz have highlighted a looming global fertiliser crunch, placing both New Zealand’s food security and 81% of it’s $64.3b primary export revenue directly in the spotlight. With imported fertilisers serving as the lifeblood of our horticulture and agriculture industries, price shocks here will ripple outward rapidly. This increase in fertiliser prices will directly and indirectly impact many NZX-listed companies on The Boardroom Table, including Synlait Milk, Scales, and Port of Tauranga to list a few.

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But it’s not just the agriculture sector exposing our vulnerabilities. Heavy industry and infrastructure are facing identical pressures, forcing boards to make hard calls on domestic production versus import reliance.

A prime example is Fletcher Building, a company with three board of directors listed on The Boardroom Table, including Sandra Dodds at 15th (up 6 positions), Cathy Quinn at 25th (up 9 positions), and James Miller at 60th (up 4 positions). Fletcher’s Golden Bay Cement plant in Northland currently supplies 60% of New Zealand’s market. Due to rising costs, including carbon costs, the plant would’ve been forced to close and move to an import-only model from 2030. A $60m Government co-investment was ultimately required to keep the doors open. This deal highlights the importance of sheltering critical supply chains from potential global bottlenecks, even when government intervention isn't sustainable, but necessary.

When it comes to navigating changing economic environments like these, it doesn’t have to be a game of blindfolded darts. Using modern day predictive modelling for supply chain risk management has become increasingly more vital for a country that depends on trade.

If your supply chain is feeling choked, we can help.  We're a team of commercial experts and data obsessives ready to use our arsenal of tools and experience to drive valuable change so you can increase revenue while reducing risk.  Get in touch today for a low-risk chat about your high-risk problems.