Exports increase to bolster economy

Export earnings from resources and energy commodities are expected to increase by 8 per cent a year, driven by growth in volumes and despite softness in prices, a federal government forecaster predicts.

The Bureau of Resources and Energy Economics says in its March quarter report that total export earnings will amount to $284 billion in 2018-19.

Executive director Bruce Wilson said the resources boom was transitioning from an investment to a production phase as the large number of projects developed over the past few years started operating.

"This is expected to result in increased production and exports for a number of commodities," he said on Wednesday.

Mr Wilson said while lower prices for most commodities during the past year had put greater pressure on the profitability and competitiveness of some Australian producers, the industry was expected to remain fairly resilient over the medium term.

Industry Minister Ian Macfarlane said the mining industry had been central to the economy during the past decade and its contribution would be more important in the years ahead.

He said the government would continue to pursue the repeal of the mining and carbon taxes, both of which had been blocked in the Senate where the coalition did not have a majority.

Mr Wilson said in the short term, higher volumes of iron ore and coal would be the key drivers of export growth, but LNG would later become a major export earner.

Between 2012-13 and 2018-19, LNG exports are projected to increase at an average annual rate of 22 per cent to reach 79 million tonnes, up from 24mt in 2012-13.