It balances a careful approach to spending, the maintenance of a strict approach to tax integrity and lays out a medium term plan to promote investment and growth, MCA CEO Brendan Pearson said.

“The move to a lower company tax cut will, over time, improve the competitiveness of our tax system and promote investment and well-paid jobs, including in the resources sector,” he said.

Mining exports are forecast to grow by 7% in 2016-17 and 7% in 7.5% in 2017-18, faster than the growth in total exports over the same period.

Over the next four years, Australia’s single largest export earner, iron ore, is forecast to grow by 16%.

The Budget also highlights the substantial gains in mining productivity over recent years.

The Budget projects a recovery in commodity prices over the next year, the first increase in the terms of trade in recent years.

“The minerals sector welcomes the government’s commitment to a $100.5 million initiative over four years to produce mineral, petroleum and groundwater resource data in targeted areas in northern Australia and South Australia to help identify new greenfield exploration sites,” Pearson said.

“This is a critical investment to identify the next sources of Australia’s minerals wealth.”