Australia's worst drought in a century has pushed its trade deficit to its highest level in more than two years in November, as agricultural exports falter.

The deficit has increased for 12 successive months and is back over A$1bn (�359m; $576m) for the first time since August 2000.

Despite the drought, the government has maintained its forecast for export growth this year.

"Given these figures, the government remains confident that the mid-year economic and fiscal outlook forecast of export growth of 2% in 2002/03 remains on track," said Deputy Prime Minister John Anderson.

"These figures point clearly to the continued strength of the Australian economy relative to our key trading partners, at the same time as the continuing importance of agriculture to the national economy," he said.

Ballooning deficit

The Australian Bureau of Statistics (ABS) reported the seasonally adjusted trade deficit ballooned to A$1.14bn from A$957 in October.

Australia's overall strong economy saw imports rise by 1% to $13.8bn, while exports fell by about half a percent to A$12.6bn.

Rural exports fell by 7% to A$2.25bn dollars due to lower sales of wheat, cotton, and meat.

The ABS said the fall in exports was almost totally due to the drought.