Export earnings expected to rise next year

exportDESPITE falling by nearly 9 per cent in the 2012 to 2013 financial year, energy and minerals export earnings are forecast to rise by nearly 20 per cent this financial year, a government report has claimed.
The Bureau of Resources and Energy Economics (BREE) Resources and Energy Quarterly for December 2013 stated that “total export earnings for mineral and energy commodities are forecast to increase 17 per cent” for the 2013 to 2014 financial year.
“Australian export earnings from resources and energy commodities will be supported by higher export volumes and an assumed lower Australian dollar exchange rate,” BREE executive director Bruce Wilson said.
Export earnings from the energy industry were tipped to rise 9.1 per cent to $75.3 billion as a result of higher earnings from LNG and metallurgical coal.
BREE was optimistic about the global oil industry, expecting world oil consumption to increase by 1.3 per cent to 92.2 million barrels per day while world oil production will rise by 2.7 per cent to 93.9mmbopd.
Furthermore, Australian gas production rose during 2012 and 2013 by 13 per cent on the previous year; following the start up of Woodside’s Pluto LNG project offshore WA in April 2012 and a higher volume of gas production at the North West Shelf project.
“Domestic production for most key commodities is forecast to increase in 2013-2014 as Australia begins the transition from the investment phase to the production phase of the mining boom,” Mr Wilson said. “As Australia is a relatively small consumer of these products, this will translate to higher export volumes.”