China: Spot Iron Ore Price increased by USD 1-2

• Spot Iron ore price increased by USD1-2
• Shanghai Steel Rebar Future trading at seven week low
• Mid-Autumn holiday in China
• Indian Rupee improved against Dollar

Seaborne Iron ore price to China is increased by USD 1-2 on 20^th September'13. SteelMint assessed that spot Iron ore price for grade 63.5/63 is at USD 131-132/MT CFR China.

China:

Iron ore prices strengthened by USD1-2. This price are based on the better performance of SWAP market.whereas Chinese market is closed till 20th of September. 

Iron ore imports are increasing as the Steel demand was expected to increase from October. Some Steel mills and traders in China are restocking the material before the National holiday i.e. from (1-7 October).

China`s crude Steel production was increased by 0.5% to 2.129MnT between (1-10 Septembers). Chinese steel Market expected for the growth in the Chinese economy remains positive since Governments announced the investment in Rail, Road and construction activities.

Shanghai Steel Rebar on 18^th September'13 closed at its seven weeks low to Yuan 3626 after a drop by Yuan 20.

Chinese market is closed for the celebration of mid autumn festival that is from 18-20 of September.

 India:

Indian rupee is strengthening against the dollar after touching 68.85 in August. On 20^th of September Indian rupee is valued at INR 62.75. Average price for Indian rupee in August was INR 62.92.

Iron ore exports from India is decreasing, in Fy13, India had export 18.03 MnT of Iron ore which is expected to come down to 8-10MnT in Fy14. Iron ore miners in India are demanding to decrease the export duty to 20% from current 30% and reduce the deferential freight charges which are three times higher than the domestic freight charge.