Australia’s major resource commodity exports likely to fall during 2019-2021

According to the Resources and Energy Quarterly Report December 2019 released by the Department of Industry, Innovation and Science (DIIS), the prices of iron ore, metallurgical coal and thermal coal are expected to decline by 2020-2021. Consequently, this would result in reduced exports of these commodities from Australia, around $ 66 billion, $ 36 billion and $ 19 billion respectively.

The slowdown in industrial production internationally along with rising stock has seen the prices of Australia’s resource exports decline from the seven-year highs established in the quarter ending September 2019. DIIS suggest that prices are expected to drift down further due to rising supply.


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