Japan contributes 10-12% of the seaborne market. The trade statistics released by Japan Ministry of Finance indicates that the country has imported around 53 MnT of iron ore during Jan-May’16.
In May’16, the country imported 10.2 MnT iron ore, down by 3.7% as compared to Apr’16. However, on a Y-o-Y basis, imports are increased by 6.2% when compared with the imports during the same month a year ago.
In 2012, the country imported 131 MnT iron ore, 135.8 MnT in 2013, 136.3 MnT in 2014 and 130.9 MnT in 2015.
Australia- largest iron ore exporter to Japan
The all-time largest exporter of iron ore to Japan was Australia. Imports from Australia was registered at 31 MnT during Jan-Jun’16. In May’16, Japan imported around 6.2 MnT iron ore from Australia, accounting around 60% of the total imports during the month.
The other key exporters to Japan during Jan-Jun’16 was Brazil (3.2 MnT), South Africa (0.22 MnT), India (0.22 MnT), Chile (0.19 MnT), Canada (0.16 MnT) and others countries around 6.2 MnT.
India shares long-term trade agreements with Japan since decades
Since four to five decades, India’s largest iron ore producer, NMDC is exporting high-grade iron ore to Japan. NMDC has a long-term agreement with Japanese mills to supply around 3.5 to 5.5 MnT iron ore every year.
During Jan-May’16, Japan has imported around 0.97 MnT iron ore from India.
India and Japan share bilateral trade. India’s primary exports petroleum products, iron ore, oil meals, Ferroalloys, inorganic/organic chemicals, etc to Japan. In return, India imports machinery, transport equipment, iron, and steel, electronic goods, machine tools, etc. from Japan.
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