World’s second largest exporter of iron ore – Brazil has recorded 4% Y-o-Y increase in export volumes to 35.62 MnT in Aug’18 as compared to Aug’17 exports at 34.13 MnT, according to trade statistics released by Brazil customs.
China accounts more than half of Brazilian iron ore exports, amidst stricter regulations in China, buyers are preferring low alumina high- grade Brazilian iron ore (Carajas fines) resulting in increased exports from Brazil.
However, on monthly basis, Iron ore export by Brazil witnessed marginal decline in Aug’18 as against 36 MnT in July’18.
The average price for Aug’18 depicted a rise of 18% on yearly basis as against USD 39.1/MT in Aug’17. Demand for high grade iron ore in China is expected to sustain amid China’s steel capacity cuts and stringent environmental norms. This will keep Brazilian iron ore prices supported.
The monthly average price of iron ore in Aug’18 witnessed at USD 46.1/MT, FoB, down by 9% compared to USD 50.4/MT in July’18.
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