Australia’s total trade in services reached a new record of $166 billion in 2016-17, according to new report.
Trade Minister Steven Ciobo said the record has been driven by services exports rising 8.3 per cent to $81.6 billion during that period.
The Trade in Services 2016-17 report reveals tourism, education and business services exports are growing rapidly.
Tourism exports increased 7.6 per cent to $37.2 billion in 2016-17. Reflecting this, visitor arrivals increased 9 percent to 8.6 million. New Zealand (1,352,900), China (1,259,100) and the United States (759,400) were Australia’s largest source of international visitors. Almost 600,000 Australians were directly employed in tourism in 2016-17.
Education exports increased 15.8 per cent to $28.6 billion, of which the largest component, education-related travel services, rose 16.1 per cent to $28 billion.
Exports of business services rose 3.7 per cent to $19.4 billion, other personal travel rose 4.8 per cent to $21.7 billion and transport services increased 8.7 per cent to $7.5 billion.
Driving economic growth
During that period, NSW was the largest services exporting State accounting for 41.6 per cent of total services export, valued at $33.9 billion. Victoria was second accounting for 25.6 per cent, $20.9 billion, followed by Queensland accounting for 16.2 per cent $13.2 billion.
“The Turnbull Coalition Government is working to further grow services exports to create new jobs and drive economic growth,” said Mr Ciobo.
China was Australia’s largest services export market in 2016-17, valued at $14.7 billion.
Much of the increase could be attributed to the China-Australia Free Trade Agreement (ChAFTA), Mr Ciobo said.
“Recently signed trade agreements, such as the TPP-11 and Peru-Australia Free Trade Agreement, offer Australian services exporters enhanced access to markets in a trade zone with a combined GDP of $13.7 trillion,” he added.
The Trade in Services 2016-17 report is available on the DFAT website.