Indian iron ore exports have registered a significant fall of around 25% in Jul’16. Ongoing monsoon has kept iron ore exporters away from exporting iron ore.
As per customs data maintained by SteelMint, total iron ore exports was registered at 0.55 MnT in Jul’16, as compared to 0.74 MnT in Jun’16. In Jul’15, iron ore exports remained nill.
In first four months of FY17, total 5.6 MnT iron ore was exported from India. China, Japan, and South Korea are the major export destination of Indian iron ore.
Iron ore exports from Paradip Port resumes in Jul’16
Exports from Indian east coast region have also gained momentum. Major miners like Rungta Mines, Bagadiya Brothers are actively exported low-grade ore to China.
From east coast region in India, 33% of total iron ore exports has been contributed from Paradip Port and 30% of total iron ore exports have been contributed from Dhamra Port in Jul’16.
Global iron ore prices hit 3-month high over anti-dumpling plan; India to get benefit in exports
Global iron ore prices are at a higher node. Prices have hit 3-month high and reached to a level of USD 60.5/MT on 01 Aug’16. This sudden gain in prices is due to the planning of Chinese miners to impose anti-dumping duties on iron ore imports from Australia and Brazil.
Continuous low-cost iron ore imports from Australia and Brazil have kicked out Chinese iron ore miners from the market.
India will be benefited if anti-dumping duties are introduced, Australian and Brazilian iron ore would become more expensive. In addition, it will be beneficial for China to take ore from India due to fewer freight transition costs.
On similar lines, Indian iron ore export offers for Fe 57/58% fines are currently hovering in the range of USD 33-35/MT, FoB India. Prices have moved up by USD 2-3/MT in a month time.
Starting FY17, India exported around 4.3 MnT iron ore to China. In addition, starting FY17 around 75% of the total Indian iron ore exports is done to China. In Jul’16, around 64% (355,950 MT) iron ore was exported to China.
In FY16, iron ore exports from India was registered at 6.03 MnT. It is anticipated that exports from India will be around 12-15 MnT in FY 17.
Party-wise iron ore exports from India in Jul’16
| Shipper | Jun’16 | Jul’16 |
| Vedanta | 154,000 | 55,000 |
| MMTC | 227,000 | 143,000 |
| Fomento Resources | – | – |
| Bagadiya Brothers | – | 91,000 |
| Rungta Mines | 141,850 | 209,350 |
| VM Salgaonkar | – | – |
| Royal Line Resources | 59,500 | – |
| Kk Resources | 72,000 | – |
| Kai International | – | 55,600 |
| Ghanshayam Mishra & Sons | 50,000 | – |
| Rajnand Pur & Bagadiya Brothers | 38,000 | – |
| Total | 742,350 | 553,950 |
Qty in MT
Source: SteelMint Stats, Customs
Provisional data
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