Friday, January 02, 2009
Sydney: Australia's coal exporters are hoping to increase shipments to China in the new year, despite China's export oriented economy losing momentum for growth. Projections indicate Australia's coal exports to China will nevertheless be boosted by an estimated 11% to reach 40m tonnes, according to a current report by the Australian Bureau of Agricultural and Resource Economics (ABARE). The report indicates that, as the world economy slows down, international freight has declined sharply resulting in China's power plants and steelmakers opting for coal imports. Moreover a number of its small coal mines, which fall short of standards, have been ordered closed and some new ones from going into production. This also helps foster conditions for Australian coal miners to push coal into China, ABARE said.