SA trade takes hit but China sales rise

SOUTH Australia’s exports have taken a $673m dive amid the coronavirus crisis but trade with China is booming.

Despite mounting tensions between the two countries, Chinese consumers bought more than $3bn worth of SA goods in 2019-20.

That’s a $335m, or 12.2 per cent, increase on the previous year.

SA’s trade with Canada, Vietnam, Indonesia, the Philippines and Germany is also up despite the pandemic, although trade with the US, UK and European Union is down.

In total, SA sent $11.04bn worth of goods overseas in 2019-20, compared to $11.7bn the year before.

“We fully recognise the dramatic reduction of passenger flights, disruption to supply chains and the global economic downturn continues to place immense pressure on local exporters,” federal Trade Minister Simon Birmingham (pictured) said.

“It’s why we moved quickly to support critical freight flights to Singapore and Hong Kong, which has already seen 25 flights carry 550 tonnes of premium South Australian produce into these export markets.”

SA’s exports bounced back in May and June after a multimillion-dollar dip at the start of the year.

But Mr Birmingham said “great uncertainties remain”.

He said the federal government would continue to support critical freight flights and would “pursue other strategies to help our exporters”.

Freight flights to Singapore and Hong Kong will be extended for another six weeks when their current contracts expire in September.