South Africa Iron Ore Export Fall by 11% in H1 2016

South Africa, a significant player in the bulk material export market, especially in terms of exports of iron ore. Following Australia and Brazil, the country contributes 3rd position among world’s top iron ore exporters.

South Africa exported around 30.6 MnT iron ore in the first half of 2016, registered a fall of 11% against the corresponding period of previous year. In H1 2015, the country exported 34.4 MnT iron ore.

In Jun’16, the country exported around 5.13 MnT iron ore. On M-o-M basis, exports remained almost unchanged. In Jun’16, the agglomerated iron ore exports were at 3.12 MnT, while non-agglomerated iron ore exports registered at 2.01 MnT. Meanwhile, on the Y-o-Y basis, iron ore exports are down by 8% in the same consecutive month last year.

China, the world’s largest consumer of iron ore, imports around 5-6% of its total imports from South Africa. In Jun’16, South Africa exported around 65% total iron ore exports to China.

South Africa’s Top 5 Iron ore exporting countries in H1 2016

Quantity in MnT
Source: South Africa’s Customs

India-the second largest iron ore importer of South African iron ore

Indian steel makers prefer using South African iron ore due to high Fe content and tumbler index.

In Jul’16, total iron ore imports to India registered at 326,750 MT. Out of the total quantity, imports from South Africa was contributed at 77% (252,600 MT) of total imports. However, in Jun’16, no iron ore import vessel was booked from South Africa.

South Africa’s Kumba Iron Ore Production Down by 15% in Q2 2016

South Africa-based Anglo American in its recent announced  Q2 result have reported that iron ore production from Kumba was down by 5% as compared to Q2 2015 (10.4 MnT). In H1 2016, Kumba’s iron ore production was registered at 17.8 MnT, down by around 21% as it was 22.6 MnT in H1 2015.