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PERTH (miningweekly.com) – While coal and mineral exports continued to drive the Queensland economy in the 12 months to February, the resources sector has warned that the impacts of the Covid-19 pandemic would be felt in the future.
The Queensland government on Wednesday revealed that exports during the 12 months to February reached A$83.3-billion, with coal exports counting as the largest non-confidentialised export at A$35.1-billion.
Other mineral exports contributed more than A$8.3-billion in value during this period.
During the 12 months under review, China remained the state’s largest export destination, with A$28.6-billion worth of exports, while Japan was the second-largest destination, with A$11-billion worth of exports.
The Queensland Resources Council’s (QRC’s) CEO Ian Macfarlane noted that the latest figures from the Australian Bureau of Statistics demonstrated the ongoing strength of the sector leading into the Covid-19 outbreak and its essential value to the State’s economy.
“While it's very encouraging to see the resources sector contributing 80% or A$66-billion to Queensland’s exports it’s important we recognise that in the months ahead we’ll see headwinds as slower demand takes hold from a contracting world economy,” Macfarlane said.
“Covid-19 impacts are yet to evolve in February. Indeed, the World Health Organisation (WHO) declared a Public Health Emergency of International Concern on January 30 and WHO did not declare it a pandemic until March 11.”
However, Macfarlane noted that resources would continue to play an essential role by employing locally and exporting internationally to deliver royalty payments to the state government.
“Both the state and federal governments have defined the resources sector as an ‘essential’ industry to keep people working and Treasurer Jackie Trad told ABC Radio last week the resources sector was doing its part by keeping people employed and ensuring revenue is flowing into the state.
“In February alone Queensland’s exports were A$6.2-billion - an increase from A$6.1-billion in January. Separately, liquefied natural gas (LNG) export data out of Gladstone for March 2020 showed the industry was weathering the economic storm with 1.825-million tonnes of LNG exported which is a 2% increase on February exports.
“While we are seeing these strong numbers in the first quarter of this year the industry is watching how our key trading partners in Asia, Europe and North America manage the economic fallout from Covid-19.”