SYDNEY, Jan. 9 (Xinhua) -- Australia is expected to register an all-time high of 204 billion Australian dollars (about 150 billion U.S. dollars) for resource and energy export earnings during the 2016-2017 financial year.
A quarterly report received Monday from the Australian Department of Industry, Innovation and Science detailed how the demand for raw steel-making materials such as iron ore and metallurgical coal increased due to growth of China's resurgent construction sector.
"The world economy appears to be picking up speed," said chief economist at the DIIS, Mark Cully.
Significant investment in Australia's productive capacity has supported strong growth, along with the demand from China's steel sector, he said.
However, the upturn in Australia's resources exports are not predicted to last. The concern is due to the expected decline of iron ore prices over the next two years.
Increased global supplies are expected to lower unit values in 2017-2018, Cully said.
The current spot price sits at 80 dollars a ton, Reuters predicts that figure may drop to 46.70 dollars by 2018.
Metallurgical coal is expected to perform well and rise from 114.40 dollars a ton in 2016 to 182.2 dollars a ton in 2017, according to the Australian Broadcasting Corporation.