“Supported by strong world economic growth, higher export earnings from mineral resources will continue to underpin commodity sector performance,” ABARE acting executive director Karen Schneider said.

The value of Australia’s minerals and energy exports is forecast to be around $108 billion in 2006-07, a rise of 18% from $92 billion in 2005-06.

ABARE said the price outlook across mineral resources remains positive, reflecting continued strong world demand and modest growth in supply. Following significant rises in 2005-06, further price increases in 2006-07 are forecast for many mineral commodities, including iron ore, gold, aluminium, nickel, copper and zinc.

In addition to higher prices, the volume of Australian mineral resources exports, in aggregate, is forecast to rise markedly in 2006-07.