Speaking at the AMEC Convention in Perth, the department’s Resource and Economics branch acting manager Ross Lambie said developments in smartphone, vehicle and energy technologies would create opportunities in non-traditional commodity spaces moving forward.

“New technologies will drive the next generation of resource investments,” he said.

“Production of rare earths, beryllium, graphite and silver will provide great opportunities for Australia through its high grade deposits.”

Lambie cited developments by Tesla in the battery and vehicle space and developments in smartphone and the wider car market as being key drivers in the next generation of resource production in Australia.

He said the longer term outlook for the Australian commodity sector was good as demand grows from emerging economies and populations in Asia, particularly in China and India.

However, the oversupply facing markets at present is expected to continue to present challenges in the shorter term.

“Prices for commodities, in particular iron ore, will remain under pressure for some time,” Lambie said.

“Because of the market conditions at the moment increases in demand are not necessarily going to mean increases in prices.”

Lambie said prices were expected to improve to some degree further down the track.

“Over the medium term, commodity prices are projected to increase moderately,” he said.

Despite the subdued predictions, Lambie told the audience that while the outlook for commodities in current may not be the best the nation would still pull its weight in the sector into the future.

“Australia still has high quality resources and can play a key role in supplying world markets moving forward,” he said.