Australia’s outlook for gold is glimmering, with the nation on track to be the world’s number one producer of the precious metal.
Gold exports are forecast to net a record $31 billion in 2020/21, securing its spot as the nation’s third largest commodity export behind iron ore and liquefied natural gas.
Resources Minister Keith Pitt says the sector has held Australia up throughout the year, and will help the economy recover from the coronavirus pandemic.
“Australia is now on track to become the world’s largest gold producer by 2021,” he said.
“The outlook for copper also remains strong, with earnings to hit a record of more than $10 billion as the demand for electronic devices and electricity transmission networks grows in developing countries.”
The latest Resources and Energy Quarterly has slightly lowered Australia’s forecast export earnings over the next two years, due to the pandemic.
Forecast earnings are expected to reach $256 billion in 2020/21 and $252 billion the year after.
Iron ore export earnings are expected to remain high, with strong demand from China and constrained supply from Brazil.
Iron ore exports will total $97 billion this year, short of last year’s $102 billion record.