ANALYSIS AND COMMENTS


BALANCE ON GOODS AND SERVICES

In trend terms, the balance on goods and services was a deficit of $194m in November 2017, a turnaround of $296m on the surplus in October 2017.

In seasonally adjusted terms, the balance on goods and services was a deficit of $628m in November 2017, an increase of $326m on the deficit in October 2017.

GOODS AND SERVICES SUMMARY(a), Seasonally Adjusted and Trend
							Change in:
				Sep 2017	Oct 2017	Nov 2017	Nov 2017	Nov 2017
				$m	$m	$m	$m	%
Seasonally Adjusted
BALANCE on goods and services				1 169	-302	-628	-326	-108
CREDITS
	Total goods and services			32 595	31 712	31 853	141	-
		Total goods		25 079	24 479	24 472	-7	-
			Rural goods(b)	4 060	3 952	3 977	25	1
			Non-rural goods(b)	19 477	18 611	19 005	394	2
			Net exports of goods under merchanting(c)	41	53	53	-	-
			Non-monetary gold(c)	1 500	1 862	1 437	-425	-23
		Total services		7 516	7 234	7 381	147	2
DEBITS
	Total goods and services			-31 426	-32 014	-32 481	467	1
		Total goods		-24 040	-24 520	-24 903	383	2
			Consumption goods	-8 164	-8 333	-8 546	213	3
			Capital goods	-6 201	-6 176	-6 366	190	3
			Intermediate and other merchandise goods	-9 291	-9 609	-9 690	81	1
			Non-monetary gold(c)	-385	-401	-301	-100	-25
		Total services		-7 386	-7 495	-7 578	83	1
Trend(d)
BALANCE on goods and services				423	102	-194	-296	(e). .
CREDITS
	Total goods and services			32 060	31 955	31 852	-103	-
		Total goods		24 665	24 565	24 472	-93	-
			Rural goods(b)	4 052	4 022	3 990	-32	-1
			Non-rural goods(b)	19 008	18 937	18 883	-54	-
			Net exports of goods under merchanting	46	47	49	2	4
			Non-monetary gold	1 559	1 559	1 551	-8	-1
		Total services		7 394	7 389	7 380	-9	-
DEBITS
	Total goods and services			-31 637	-31 852	-32 047	195	1
		Total goods		-24 226	-24 388	-24 524	136	1
			Consumption goods	-8 257	-8 293	-8 334	41	-
			Capital goods	-6 224	-6 258	-6 280	22	-
			Intermediate and other merchandise goods	-9 337	-9 452	-9 549	97	1
			Non-monetary gold	-408	-385	-361	-24	-6
		Total services		-7 411	-7 464	-7 523	59	1
. . not applicable
- nil or rounded to zero (including null cells)
(a) For sign conventions, see paragraph 15 of the Explanatory Notes.
(b) For all time periods, estimates for sugar, sugar preparations and honey are included in Non-rural goods.
(c) This component is not seasonally adjusted.
(d) Caution should be used when interpreting recent trend estimates as they may be affected by unusual economic factors. For more details on trend estimates, see paragraph 19 of the Explanatory Notes.
(e) See paragraph 15 of the Explanatory Notes.

EXPORTS OF GOODS AND SERVICES

Between October and November 2017, the trend estimate of goods and services credits fell $103m to $31,852m.

In seasonally adjusted terms, goods and services credits rose $141m to $31,853m. Non-rural goods rose $394m (2%) and rural goods rose $25m (1%). Non-monetary gold fell $425m (23%). Net exports of goods under merchanting remained steady at $53m. Services credits rose $147m (2%).


Exports of goods

GOODS CREDITS, Seasonally Adjusted
							Change in:
				Sep 2017	Oct 2017	Nov 2017	Nov 2017	Nov 2017
				$m	$m	$m	$m	%
Total goods credits				25 079	24 479	24 472	-7	-
	General merchandise			23 538	22 564	22 982	418	2
		Rural goods		4 060	3 952	3 977	25	1
			Meat and meat preparations	1 027	968	965	-3	-
			Cereal grains and cereal preparations	680	682	604	-78	-11
			Wool and sheepskins	361	371	393	22	6
			Other rural(a)	1 992	1 932	2 015	83	4
		Non-rural goods		19 477	18 611	19 005	394	2
			Metal ores and minerals(b)	7 669	6 910	6 986	76	1
			Coal, coke and briquettes(c)	4 460	4 438	4 340	-98	-2
			Other mineral fuels(b)(d)	2 596	2 619	2 748	129	5
			Metals (excl. non-monetary gold)	901	793	1 003	210	26
			Machinery	838	847	844	-3	-
			Transport equipment	381	316	335	19	6
			Other manufactures	1 618	1 621	1 695	74	5
			Other non-rural (incl. sugar and beverages)(a)	887	924	896	-28	-3
			Goods procured in ports by carriers(d)	129	144	158	14	10
	Net exports of goods under merchanting(e)			41	53	53	-	-
	Non-monetary gold(e)			1 500	1 862	1 437	-425	-23
- nil or rounded to zero (including null cells)
(a) For all time periods, estimates for sugar, sugar preparations and honey are included in Other non-rural.
(b) From July 2005, this component is seasonally adjusted using seasonal factors derived from a monthly volume series.
(c) From July 1971 to June 2005, only a length-of-month adjustment has been applied to this component. From July 2005, this component is seasonally adjusted using seasonal factors derived from a monthly volume series.
(d) In using these seasonally adjusted series, care should be exercised because of the difficulties associated with reliably estimating the seasonal pattern.
(e) This component is not seasonally adjusted.

RURAL GOODS

In trend terms, exports of rural goods fell $32m (1%) to $3,990m.

In seasonally adjusted terms, exports of rural goods rose $25m (1%) to $3,977m.

The main components contributing to the rise in seasonally adjusted estimates were:

• other rural, up $83m (4%)
• wool and sheepskins, up $22m (6%).

Partly offsetting these rises was cereal grains and cereal preparations, down $78m (11%).


NON-RURAL GOODS

In trend terms, exports of non-rural goods fell $54m to $18,883m.

In seasonally adjusted terms, exports of non-rural goods rose $394m (2%) to $19,005m.

The main components contributing to the rise in seasonally adjusted estimates were:

• metals (excl. non-monetary gold), up $210m (26%)
• other mineral fuels, up $129m (5%)
• metal ores and minerals, up $76m (1%)
• other manufactures, up $74m (5%).

Partly offsetting these rises was coal, coke and briquettes, down $98m (2%).

For price and volume details, see the Selected commodities section.


NET EXPORTS OF GOODS UNDER MERCHANTING

In trend terms, net exports of goods under merchanting rose $2m (4%) to $49m.

In seasonally adjusted terms, net exports of goods under merchanting remained steady at $53m.

NON-MONETARY GOLD

In trend terms, exports of non-monetary gold fell $8m (1%) to $1,551m.

In original and seasonally adjusted terms, exports of non-monetary gold fell $425m (23%) to $1,437m.


Exports of services

SERVICES CREDITS, Seasonally Adjusted
						Change in:
			Sep 2017	Oct 2017	Nov 2017	Nov 2017	Nov 2017
			$m	$m	$m	$m	%
Total services credits			7 516	7 234	7 381	147	2
	Manufacturing services on physical inputs owned by others(a)		-	-	-	-	-
	Maintenance and repair services n.i.e.(a)		5	2	2	-	-
	Transport		633	635	638	3	-
		Passenger(b)	248	249	251	2	1
		Freight(c)	23	23	23	-	-
		Other	234	231	231	-	-
		Postal and courier services(d)	128	132	133	1	1
	Travel		5 010	4 777	4 916	139	3
	Other services		1 868	1 819	1 825	6	-
Memorandum item
	Tourism related services credits(e)		5 257	5 026	5 167	141	3
- nil or rounded to zero (including null cells)
(a) This component is not seasonally adjusted.
(b) Passenger services includes agency fees and commissions for air transport.
(c) In using these seasonally adjusted series, care should be exercised because of the difficulties associated with reliably estimating the seasonal pattern.
(d) Postal and courier services includes indirect commissions for sea transport.
(e) For a more detailed explanation of tourism related services, see paragraph 29 of the Explanatory Notes.

In trend terms, services credits fell $9m to $7,380m.

In seasonally adjusted terms, services credits rose $147m (2%) to $7,381m.

The main component contributing to the rise in seasonally adjusted estimates was travel, up $139m (3%).

In seasonally adjusted terms, tourism related services credits rose $141m (3%) to $5,167m.

In seasonally adjusted terms, total services credits contributed 23% of total goods and services exported.


IMPORTS OF GOODS AND SERVICES

Between October and November 2017, the trend estimate of goods and services debits rose $195m (1%) to $32,047m.

In seasonally adjusted terms, goods and services debits rose $467m (1%) to $32,481m. Consumption goods rose $213m (3%), capital goods rose $190m (3%) and intermediate and other merchandise goods rose $81m (1%). Non-monetary gold fell $100m (25%). Services debits rose $83m (1%).


Imports of goods

GOODS DEBITS(a), Seasonally Adjusted
							Change in:
				Sep 2017	Oct 2017	Nov 2017	Nov 2017	Nov 2017
				$m	$m	$m	$m	%
Total goods debits				-24 040	-24 520	-24 903	383	2
	General merchandise			-23 655	-24 119	-24 602	483	2
		Consumption goods		-8 164	-8 333	-8 546	213	3
			Food and beverages, mainly for consumption	-1 129	-1 242	-1 243	1	-
			Household electrical items	-490	-520	-468	-52	-10
			Non-industrial transport equipment	-2 112	-2 059	-2 087	28	1
			Textiles, clothing and footwear	-1 415	-1 465	-1 480	15	1
			Toys, books and leisure goods	-532	-570	-584	14	2
			Consumption goods n.e.s.	-2 485	-2 477	-2 686	209	8
		Capital goods		-6 201	-6 176	-6 366	190	3
			Machinery and industrial equipment	-1 774	-1 773	-1 734	-39	-2
			ADP equipment	-773	-804	-836	32	4
			Telecommunications equipment	-908	-1 011	-1 195	184	18
			Civil aircraft and confidentialised items(b)(c)	-300	-246	-282	36	15
			Industrial transport equipment n.e.s.	-972	-884	-853	-31	-4
			Capital goods n.e.s.(d)	-1 473	-1 459	-1 466	7	-
		Intermediate and other merchandise goods		-9 291	-9 609	-9 690	81	1
			Food and beverages, mainly for industry	-134	-157	-151	-6	-4
			Primary industrial supplies n.e.s.(d)	-177	-197	-222	25	13
			Fuels and lubricants(c)	-2 426	-2 632	-2 561	-71	-3
			Parts for transport equipment	-1 020	-990	-1 020	30	3
			Parts for ADP equipment	-57	-56	-57	1	2
			Other parts for capital goods	-1 355	-1 339	-1 368	29	2
			Organic and inorganic chemicals	-384	-376	-361	-15	-4
			Paper and paperboard	-182	-188	-188	-	-
			Textile yarn and fabrics	-126	-123	-125	2	2
			Iron and steel	-250	-263	-289	26	10
			Plastics	-338	-345	-356	11	3
			Processed industrial supplies n.e.s.	-2 704	-2 745	-2 815	70	3
			Other merchandise goods(b)(e)	-37	-100	-82	-18	-18
			Goods procured in ports by carriers(c)	-100	-97	-97	-	-
	Non-monetary gold(c)			-385	-401	-301	-100	-25
- nil or rounded to zero (including null cells)
(a) For sign conventions, see paragraph 15 of the Explanatory Notes.
(b) From July 2008, commodities subject to a 'no commodity details' or 'no value details' restriction are included in Civil aircraft and confidentialised items. For earlier periods, commodities subject to a 'no commodity details' or 'no value details' restriction are included in Other merchandise goods.
(c) This component is not seasonally adjusted.
(d) In using these seasonally adjusted series, care should be exercised because of the difficulties associated with reliably estimating the seasonal pattern.
(e) From July 1981, this component is not seasonally adjusted.

CONSUMPTION GOODS

In trend terms, imports of consumption goods rose $41m to $8,334m.

In seasonally adjusted terms, imports of consumption goods rose $213m (3%) to $8,546m.

The main component contributing to the rise in seasonally adjusted estimates was consumption goods n.e.s., up $209m (8%).


CAPITAL GOODS

In trend terms, imports of capital goods rose $22m to $6,280m.

In seasonally adjusted terms, imports of capital goods rose $190m (3%) to $6,366m.

The main component contributing to the rise in seasonally adjusted estimates was telecommunications equipment, up $184m (18%).


INTERMEDIATE AND OTHER MERCHANDISE GOODS

In trend terms, imports of intermediate and other merchandise goods rose $97m (1%) to $9,549m.

In seasonally adjusted terms, imports of intermediate and other merchandise goods rose $81m (1%) to $9,690m.

The main components contributing to the rise in seasonally adjusted estimates were:

• processed industrial supplies n.e.s., up $70m (3%)
• parts for transport equipment, up $30m (3%)
• other parts for capital goods, up $29m (2%)
• iron and steel, up $26m (10%).

Partly offsetting these rises was fuels and lubricants, down $71m (3%).


NON-MONETARY GOLD

In trend terms, imports of non-monetary gold fell $24m (6%) to $361m.

In original and seasonally adjusted terms, imports of non-monetary gold fell $100m (25%) to $301m.


Imports of services

SERVICES DEBITS(a), Seasonally Adjusted
						Change in:
			Sep 2017	Oct 2017	Nov 2017	Nov 2017	Nov 2017
			$m	$m	$m	%	%
Total services debits			-7 386	-7 495	-7 578	83	1
	Manufacturing services on physical inputs owned by others(b)		-	-	-	-	-
	Maintenance and repair services n.i.e.(b)		-45	-46	-51	5	11
	Transport		-1 379	-1 488	-1 509	21	1
		Passenger(c)	-579	-611	-621	10	2
		Freight	-728	-750	-762	12	2
		Other(b)	-64	-118	-118	-	-
		Postal and courier services(d)(e)	-8	-9	-8	-1	-11
	Travel		-3 764	-3 799	-3 841	42	1
	Other services		-2 198	-2 162	-2 178	16	1
Memorandum item
	Tourism related services debits(f)		-4 343	-4 410	-4 461	51	1
- nil or rounded to zero (including null cells)
(a) For sign conventions, see paragraph 15 of the Explanatory Notes.
(b) This component is not seasonally adjusted.
(c) Passenger services includes agency fees and commissions for air transport.
(d) Postal and courier services includes indirect commissions for sea transport.
(e) In using these seasonally adjusted series, care should be exercised because of the difficulties associated with reliably estimating the seasonal pattern.
(f) For a more detailed explanation of tourism related services, see paragraph 29 of the Explanatory Notes.

In trend terms, services debits rose $59m (1%) to $7,523m.

In seasonally adjusted terms, services debits rose $83m (1%) to $7,578m.

The main components contributing to the rise in seasonally adjusted estimates were:

• travel, up $42m (1%)
• transport, up $21m (1%)
• other services, up $16m (1%).

In seasonally adjusted terms, tourism related services debits rose $51m (1%) to $4,461m.

In seasonally adjusted terms, total services debits contributed 23% of total goods and services imported.


Selected commodities

Selected commodities, quantity and unit value analysis - International merchandise trade basis(a): Original terms
		Change in
		Jun 2017	Jul 2017	Aug 2017	Sep 2017	Oct 2017	Nov 2017
		%	%	%	%	%	%
Iron ore
Lump
	Quantity	-1	1	-3	10	-6	-
	Unit value	-2	11	5	9	-6	-11
Fines
	Quantity	-9	2	7	1	-3	-3
	Unit value	-10	14	8	-5	-13	-2
Coal
Hard coking
	Quantity	4	-1	2	1	-20	5
	Unit value	-6	-19	-	p-3	p6	p1
Semi-soft
	Quantity	7	-23	34	-17	3	-14
	Unit value	-12	-10	-4	p1	p4	p1
Thermal
	Quantity	-	18	-14	4	-2	-4
	Unit value	-4	-1	5	2	4	3
Gas
LNG
	Quantity	6	4	-3	-20	20	6
	Unit value	4	-6	-	-1	-1	4
- nil or rounded to zero (including null cells)
p preliminary figure or series subject to revision
(a) Data in this table are on a revised international merchandise trade basis and exclude value adjustments applied to balance of payments series.

International merchandise trade exports data presented in the above table are based on information reported by exporters to the Department of Home Affairs. For commodities such as iron ore and coal, newly negotiated contract prices are not fully reflected in data first reported to Home Affairs. Final quantity and/or unit price information is updated progressively in international merchandise trade data as exporters revise the information provided to Home Affairs. When additional information for these commodities is available, the ABS may adjust the data to reflect actual transaction values.

Unit values in this publication are presented in Australian dollar terms. Movements in the unit values for some commodities incorporate movements in the United States dollar prices reported to Home Affairs and movements in the Australian dollar to United States dollar exchange rate.

On an international merchandise trade basis, in original terms (noting the footnote in the above table), between October and November 2017 the largest movements recorded for the following selected commodities were:

Iron ore lump, down $167m (11%), with unit values down 11%. Exports to:

• China (excluding SARs and Taiwan) fell $214m (17%), with quantities down 5% and unit values down 12%
• Japan rose $40m (28%), with quantities up 25% and unit values up 2%.

Iron ore fines, down $177m (5%), with quantities down 3% and unit values down 2%. Exports to:

• China (excluding SARs and Taiwan) fell $135m (5%), with quantities down 3% and unit values down 2%
• the Republic of Korea fell $29m (13%), with quantities down 10% and unit values down 3%
• Japan fell $28m (12%), with quantities down 11% and unit values down 1%
• Taiwan rose $20m (91%), with quantities up 95% and unit values down 2%.

Hard coking coal, up $97m (6%), with quantities up 5% and unit values up 1%. Exports to:

• the Republic of Korea rose $110m
• India rose $66m (14%), with quantities up 9% and unit values up 4%
• China (excluding SARs and Taiwan) fell $142m (35%), with quantities down 31% and unit values down 6%.

Semi-soft coal, down $108m (13%), with quantities down 14% and unit values up 1%. Exports to:

• China (excluding SARs and Taiwan) fell $159m (61%), with quantities down 62% and unit values up 1%
• India rose $59m (67%), with quantities up 54% and unit values up 8%.

Thermal coal, down $14m (1%), with quantities down 4% and unit values up 3%. Exports to:

• China (excluding SARs and Taiwan) fell $121m (29%), with quantities down 30% and unit values up 3%
• the Republic of Korea rose $118m (52%), with quantities up 48% and unit values up 3%.

Liquefied natural gas (LNG), up $229m (11%), with quantities up 6% and unit values up 4%.