Australia's trade surplus grew to a larger than expected $10.5 billion in April as exports outperformed weakening imports.
Economists had expected a surplus of $9 billion after an upwardly revised $9.7 billion surplus in March.
The Australian Bureau of Statistics said on Thursday exports rose one per cent in April, while imports declined by 0.7 per cent.
There was a 3.3 per cent rise in rural goods exports, driven by an 8.3 per cent increase in cereal shipments, while consumption goods imports fell 1.1 per cent.
In contrast, the national accounts for the March quarter released on Wednesday showed imports grew at the fastest pace since December 2009, resulting in net exports detracting 1.5 percentage points from the overall growth result.
The economy expanded by 0.8 per cent in the quarter, despite the impact of the spread of the COVID-19 Omicron variant and floods along the east coast of Australia.
However, it was a marked slowdown from the upwardly revised 3.6 per cent increase in the December quarter, when the Delta variant lockdowns ended.
The annual growth rate was 3.3 per cent, compared with 4.4 per cent as of December.
Treasurer Jim Chalmers said while the economy is growing, so are the challenges, including high and rising inflation, interest rate increases and falling real wages.
"Our ability to deal with these challenges is constrained by the fact that we have inherited a trillion dollars in debt," he said on Thursday.
But Dr Chalmers insisted he is not talking the economy down.
"I'm not going to be the kind of treasurer that says to the Australian people who are falling further and further behind in this cost of living crisis ... that everything is fine in the economy," he said.
"There is no use pretending away these challenges or trying to tiptoe around them."
Household consumption, along with government spending, underpinned the positive economic growth result in the national accounts.
Retailers are expected to receive a further lift during mid-year sales in June.
Research by the Australian Retailers Association, in collaboration with Roy Morgan, predicts $8.8 billion will be spent during the sales, with more than four out of five consumers spending more or the same as last year.
"We know that many people are more conscious about their household budgets, with the cost of living going up and interest rates on the rise, so this is an ideal time to make any discretionary purchases and pay less," ARA CEO Paul Zahra says.
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