Starting FY17, Indian iron ore exports gained tremendously. Exports were registered at around 2.22 MnT (highest monthly exports since FY14) in the first month of FY17, registered a fall of around 9% in May’16. As per customs data maintained by SteelMint, Indian iron ore exports registered at 2.0 MnT in May’16.
Goa, which maintained its first position in terms of exports, registered exports of around 1.68 MnT in May’16. However, there is a slight decrease of around 1% in exports from Goa. Another major exporter was NMDC which exporting 0.2 MnT iron ore in May’16.
Declining global iron ore prices may worry Indian iron ore exporters
Global iron ore prices are on declining trend. Prices which stood at the level of around USD 62/MT, CFR China for Fe 62% fines in the month of Apr’16, have drastically fallen to USD 50/MT in May’16.
On similar lines, Indian iron ore export offers for Fe 57% fines have also fallen and currently hovering at around USD 28-29/MT, FoB India. Indian iron ore export offers are down by USD 14/MT M-o-M.
China- largest export destination for India
India exported around 1.7 MnT iron ore to China out of the total iron ore exported in May’16. However, the reputation of Indian iron ore in China is not so good due to uncertain supplies and inconsistent quality. Because of which, Chinese buyers are keen to buy small quantities of iron ore rather than full load shipment. Indian iron ore exporters are selling their material at “Cash and Carry” basis at Chinese ports.
Meanwhile, India exported around 0.30 MnT iron ore to Japan under LTA.
Party-wise iron ore exports from India in May’16
| Shipper | Apr’16 | May’16 | Total |
| Vedanta | 954,000 | 897,800 | 1,851,800 |
| Fomento Resources | 269,300 | 318,250 | 587,550 |
| Bagadiya Brothers | 54,000 | 248,500 | 302,500 |
| MMTC | 288,150 | 214,000 | 502,150 |
| VM Salgaonkar | 155,300 | 123,550 | 278,850 |
| Royal line Resources | 55,100 | 105,600 | 160,700 |
| Chowgule And Company | 117,500 | 56,400 | 173,900 |
| Kalinga Export | 51,500 | 56,300 | 107,800 |
| Samruddha Resources | – | 55,000 | 55,000 |
| Independent Minerals | – | 17,000 | 17,000 |
| G N Agarwal | 55,000 | – | 55,000 |
| Sainath,GM Iron,Bagadiya Brothers | 56,000 | – | 56,000 |
| Samruddha | 164,300 | – | 164,300 |
| Grand Total | 2,220,150 | 2,092,400 | 4,312,550 |
Qty in MnT
Source: SteelMint Stats, Customs
Provisional data
Leave a Reply