Coal and LNG push Qld commodity exports up to $1 billion per week

The surge in coal prices in the second half of 2016 and increased exports of LNG from Gladstone’s Curtis Island have pushed Queensland’s commodity exports to over $52 billion in 2016, or $1 billion per week, up from around $49 billion in 2015 (see chart below, based on the Qld Treasury briefing noting LNG exports are included in the confidential category, along with alumina and metallurgical coal from some exporters). The recovery in coal prices has led to production increases at several mine sites and hundreds of new jobs in the sector, but, as I have noted previously, it is unclear how long higher prices will be sustained. Along with Queensland’s strong tourism sector and increasing business confidence (see the recent CCIQ Pulse survey results), a revival in coal mining, even if temporary, should mean a positive economic outlook for Queensland in 2017. That said, I remain concerned about the contractionary impact that will come as residential construction falls from elevated levels, which will reduce the rate of economic growth to an extent.

exports-dec-16

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This entry was posted in Macroeconomy, Mining, Uncategorized and tagged , , , , , , , , . Bookmark the permalink.

3 Responses to Coal and LNG push Qld commodity exports up to $1 billion per week

  1. Russell says:

    The graph is very good and tells a story that we cannot delegate fossil fuels without a bit hit to our economy. I would really like to see the same graph that also included the value of other key exports Tourism, education and technology/services.
    Thanks
    Russell

  2. Russell says:

    I meant to say negate note delegate…spell checkers and poor proof reading combined.

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