Australia's trade gap reduces unexpectedly

Australia’s trade gap reduces unexpectedly

The Australian Bureau of Statistics (ABS) said Australia's trade deficit fell by 8.9% to A$ 1.8 billion in April due to the exports of grain, coal and gold increased. The economic growth in Australia's largest trading partners has affected the demand for commodities and boosted earnings at exporters such as BHP Billiton and BlueScope Steel Ltd. Japan's economy and US economy, which are Australia's two biggest export markets, grew by 5.6% and by 4.4% respectively in the first quarter. Australia is the world's largest exporter of beef, coal and iron ore. Non-rural goods exports, including gold, iron ore and fuel increased by 6% to A$ 12.5 billion in April. Exports of rural goods soared by 13%. April coal exports increased by 19% from March and were up by 9.9% compared to the same period of last year. Australia's imports also rose by 4% in April to A$ 14.3 billion. Imports of capital goods increased by 4% while imports of consumer goods jumped by 5%.