The Australian Department of Industry, Science, Energy and Resources raised its forecast for energy and mineral exports in 2021 in a report, according to the Economist News Agency.
The department estimates that Australia’s exports from January to the end of June 2021 will reach $ 212 billion (A $ 279 billion), up 9% from the previous forecast in September. This is less than the 2020 record of 291 billion Australian dollars.
The department also estimates that Australia’s iron ore exports will reach a record high of 20% in 2021, largely due to rising Chinese demand for the raw material for steel production. Another reason for the increase in Australian exports in 2021 is the decrease in production and supply of iron ore in Brazil, the second largest exporter of iron ore in the world.
According to estimates, the average price of iron ore in 2021 will be about $ 100 per ton, while in the previous forecast in September the average price per ton of iron ore was $ 85.
According to the report, with the recovery of the global economy in 2021, the demand for mineral resources and energy will increase and the stockpiles that had increased due to Covid 19 disease will decrease, which will stimulate the price of these materials. Chinese steelmakers are currently stockpiling iron ore due to rising prices.
Citigroup, a major international bank, said in an earlier report that the world average iron ore price in 2021 would be above $ 100 per tonne.
The Australian Department of Industry, Science, Energy and Resources has instead reduced its forecast for coal exports due to restrictions imposed by China.
Australian Resources Minister Kate Pitt said in a statement that the Australian Government was focused on finding new markets for its mineral and energy products in order to reduce its dependence on the Chinese market. At the beginning of the outbreak of the Corona virus, the Australian government, together with Donald Trump, blamed China for the outbreak, which led to diplomatic tensions between the two countries, with the Chinese government importing some mineral resources, including coal and iron ore. Australia limited.
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