Sino-Aussie trade partnership grows further in the last 10 years
The trade relationship of Australia and China continue to bear fruit as it registered an annual growth of 8.8 percent in 2010, en route to whopping trade value of $90 billion, according to the latest report of the Department of Foreign Affairs and Trade.
The department report said that the relationship has been mutually beneficial and amply boosts the two countries' economies.
Measured in the last ten years, from 1999 to 2010, the two-way trade surged from 5.1 percent in fiscal 2000 to 17.6 percent in the last financial year.
And when compared to the trade exchanges between the United States and Japan, both leading economies of the world, the trade partnership of Australia and China now only lagged by more than $40 billion, which itself is a remarkable feat for the young economic relationship.
Also, the report showed that the trade balance between the two nations shifted from a surplus of $7.6 billion in 2008/09 to a deficit of $3.8 billion in the past financial year, effectively striking a balance by posting a reduction of 8.7 percent in overall trade to $512.2 billion.
Still, the repercussions of the worldwide financial crisis left lasting marks on the Sino-Australian trade relationship as the report revealed that exports value declined considerably amidst export volume growths of up to 5.3 percent.
Yet imports saw growths in almost the same level as the report explained that the plunging export value can be attributed to "sharp fall in Australia's rural, resources and energy exports prices in the first half of 2009-10 as demand from our key Asian markets softened."
Despite the falls in export values, earnings appear to have sustained its momentum as commodity prices gained strongly in the closing quarter of financial year 2009/10, with coal exports reaping some $36.4 billion in revenues while iron ore producers managed to ship out $35.1 billion worth of products.
And things would only get better as the report also projected that agricultural commodities would experience surges in the current financial year, with wheat exports poised to account for up to 28 percent increase while beef and veal shipments are set to soar by 5.3 percent.
That bright prospect would be fully supported by the anticipated second phase of mining boom set to accelerate in the few years to come.