India’s ongoing monsoon season has reduced Indian iron ore exports by 6.7% in Aug’16. Indian iron ore exports declined despite higher global iron ore prices which touched to a level of USD 62/MT in the month of Aug’16.
As per the customs data maintained by SteelMint, total iron ore exports was registered at 516,770 MT in the month of Aug’16, as compared to 553,950 MT in Jul’16. However, there is 100% increase in exports in the month of Aug’16 as iron ore exports remained nil in the same month last year.
In the first five months of FY17, Indian iron ore exports were registered at 6.2 MnT, a remarkable increase as the country exported only 39,300 MT iron ore in the same consecutive months last year.
Out of the total iron ore exports in the month of Aug’16, 56.6% share of exports have been made to China and rest 43.3% exports been made to Japan. None of the shipment has been made to South Korea in the month of Aug’16.
Starting FY17 (till Aug’16), total 4.6 MnT iron ore have been exported to China, 1.2 MnT iron ore exported to Japan and 0.31 MnT iron ore exported to South Korea.
Exports from Goa remained nil in Aug’16
No iron ore export shipment was made from Goa in Aug’16. Goan iron ore exports which maintain its position in terms of iron ore exports starting FY17, has not exported even a single shipment in the month of Aug’16 due to ongoing monsoon.
In fact, iron ore mining in Goa was halted owing to monsoons. Following this, Goa DMG had stopped the transportation of ore by roads during monsoon season, to ensure public safety.
Rungta Mines exported the largest quantity of iron ore in Aug’16
Odisha-based-Rungta Mines has been actively exporting iron ore. In Aug’16, the miner exported largest share i.e. 56.6% of total exports. The entire lots of iron ore were exported to China by Rungta Mines.
NMDC exported 46% of total exports in Aug’16
India’s largest iron ore producer and exporter, NMDC is exporting iron ore to Japanese and South Korean mills under long-term trade agreements. In Aug’16, the miner exported around 224,000 MT iron ore to Japan.
For Q2 FY17, the quarterly average price index and the export price will be around USD 65.98/MT, FoB India for Baila lump and USD 64.91/MT, FoB India for Baila fines.
Party-wise iron ore exports from India in Aug’16
| Shipper | Jul’16 | Aug’16 |
| Vedanta | 55,000 | – |
| MMTC | 143,000 | 224,000 |
| Rungta Mines | 209,350 | 233,300 |
| Bagadiya Brothers | 91,000 | – |
| Kai International | 55,600 | 59,470 |
| Grand Total | 553,950 | 516,770 |
Qty in MT
Source: SteelMint Stats, Customs
Provisional data
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