Business wants dollar to stay around US75c

Australian businesses want the dollar to hover around 75 US cents to keep them competitive both domestically and in international markets.

An Australian Industry Group survey of 248 chief executives, released on Monday, finds the lower Australian dollar has combined with greater trade opportunities to have a long-term positive impact on local manufacturing and services businesses.

Over the year to May the dollar averaged 73 US cents - a lot lower than the US$1.04 it averaged between February 2011 and April 2013.

The lower dollar has been a major factor in opening up opportunities for exporters, Ai Group chief executive Innes Willox says.

However, if it drops too low it makes imports too expensive for those businesses that rely on them to be competitive.

If the dollar starts heading upwards again, it could derail the transition of growth to non-mining parts of Australia's economy, Mr Willox said.