Australia's Exports at Record Levels

Australia's exports hit record levels for the month of July continuing the strong trend in export performance in recent years, according to figures released today.

Deputy Prime Minister and Minister for Trade, Mark Vaile, said the ABS International Trade in Goods and Services figures released today also showed exports in July hit the second highest monthly level ever, second only to June this year.

"Our export performance is continuing to improve as our exporters take advantage of strong global demand and a stable domestic economy.

We are on track for another record export performance in 2006 with our total sales to the rest of the world tracking towards $200 billion for the year," Mr Vaile said.

The July figures show exports reached $17.4 billion, down 3 per cent on the previous record month, with a 2 per cent increase in exports of both rural goods and services offset by falls in non-rural goods (2 per cent) and other goods (29 per cent).

Falls in exports of metal ores, and minerals (down 8 per cent) and non-monetary gold (down 33 per cent) were only partly offset by exports of other manufactures (up 6 per cent) and other minerals (up 5 per cent).

Imports also fell by 3 per cent, largely because of a big drop in fuel imports for the month.

The trade deficit narrowed further to $588 million, down from a revised figure of $635 million in June, continuing the trend of a rebalancing of the economy toward exports.

"We have seen continued volatility in exports of resources and imports such as fuels but on the whole the export performance remains strong and our trade deficit continues to narrow," Mr Vaile said.

"The strength in export figures reflects the continued efforts of the Government to reduce impediments to Australian business and assist our exporters overseas.

The Government continues to implement reforms to improve the international competitiveness of Australian businesses. We are investing heavily to expand export infrastructure, and we remain committed to pursuing bilateral, regional and multilateral trade initiatives to open up further growth opportunities for our exporters."

Contact: Mr Vaile's Office 02 6277 7420, Departmental 02 6261 1555