Trade deficit hits $1.6bn From: AAP November 03, 2005
RECORD commodity prices have failed to stop an increase in Australia's trade deficit with the rest of the world, which hit $1.6 billion in September.
The Australian Bureau of Statistics said the country recorded its 44th monthly consecutive trade deficit, which grew more than $150 million on the August deficit.
Goods and services exports fell 1 per cent, or $108 million, to $14.7 billion, led by a fall in non-rural and other good exports which dropped $90 million.
Service exports rose $8 million.
Australian imports rose $49 million to $16.3 billion, led by a 3 per cent or $80 million increase in imports of capital goods.
Intermediate and other good imports rose $5 million, consumption goods imports fell $50 million and service imports rose $14 million.
The bureau said there had been unusual falls in exports of meat and meat preparations, cereal grains and preparations and the area of other rural during the month.
On the non-rural side, metal ore and mineral exports were down, as well other mineral fuels and machinery.
Exports of coal, coke and briquettes were up 4 per cent, compared to usual falls of around 6 per cent during September in past years.
On the import side, imports of telecommunications equipment, fuels and lubricants, parts for transport equipment and civil aircraft were up.
Crude and refined petroleum imports are now more than $1.1 billion up for the financial year ahead of the same period in 2004-05.
Imports of passenger cars are up more than $300 million over the same period.
During the quarter, China overtook the United States as the biggest source of imports. Australia bought goods from China worth $5.8 billion during the three previous months, compared to $5 billion in 2004/05.
Imports from the US amounted to $5.5 billion over the same period, compared to $5.6 billion.
However, Australia continues to run a larger trade deficit with the US which was $3.3 billion for the three months to September.
Australian exports to China hit $4.1 billion in the three months to September, well ahead of the $2.8 billion recorded for the same period in 2004/05. The deficit with China was $1.7 billion.
Australia's biggest export market continues to be Japan, with sales in the three months to September worth $7.4 billion, up from $6.2 billion last financial year.
