According to the data maintained by SteelMint, Iran has exported 1.19 MnT iron ore via bulk shipments in the fourth month of Iranian year (during 22nd June- 22nd Jul’18) the exports witnessed a decline of 33% on yearly basis in July’18 as against July’17 at 1.78 MnT.
On monthly basis ,the exports have witnessed a slight increase of 2% as compared to June’18 exports at 1.17 MnT.
For the duration Apr-July’18, the exports witnessed at 4.47 MnT, down sharply by 35% against 6.91 MnT during same duration last year (Apr-July’17).
Iranian Iron ore export have witnessed downtrend in FY19 with fall in import volumes by major Chinese buyers. This is owing to increase in demand of high grade ore and pellet by Chinese mills amidst strict environmental regulations.
Iran planning to abandon iron ore exports in next 2 years – Reports:
Iran is planning to abandoned iron ore exports in the next two years. As the Iran launch iron ore pelletizing and concentration plants in Sangan reserve and and Gole-Gohar projects in Kerman province increases its domestic demand for the projects. As per the reports, it is expected the domestic demand in Iran will be around 160MnT by 2025. Currently Iran has 80MnT iron ore production capacity per year.
China continues to be the largest Importer in Jul’18
China marked the largest importer of Iranian iron ore for July’18 at 1.08 MnT, contributing 91% of total Iranian export share. However, the export to China stood slightly down on monthly basis as against being 1.12 MnT in June’18.
UAE stood the second largest importer at 0.06 MnT, up twice M-o-M as against 0.03 MnT a month ago.
Iran country wise bulk iron ore exports July’18 v/s June’18
| Country | July’18 | Jun’18 | M-o-M (%) | FY’19 (Apr-July) | FY’18 (Apr-July) | Y-o-Y (%) |
| China | 1.08 | 1.12 | -3% | 4.16 | 6.56 | -37% |
| UAE | 0.06 | 0.03 | 100% | 0.08 | – | 100% |
| Malaysia | – | – | – | 0.05 | – | 100% |
| Pakistan | 0.03 | – | 100% | 0.03 | – | 100% |
| N/A | 0.03 | 0.03 | 4% | 0.15 | 0.35 | -56% |
| Grand Total | 1.19 | 1.17 | 2% | 4.47 | 6.91 | -35% |
Qty in MnT
Source: SteelMint Stats, Keyvan Jafari Tehrani
Provisional Data
Iran is planning to Invest in Afghanistan (Herat Province) Iron ore Mine-:
Iran is planning to invest in Sangan iron ore mine of Herat Province, located in border areas between Afghanistan and Iran. As mineral resources from Sangan iron ore mine on the Iranian side are nearing depletion, Iran is willing to invest in the Afghanistan part of the mine to fulfill its need of raw materials.
Iran’s pellet making capacities increased to 45 MnT pa by the end of CY’17 as against 30 MnT in beginning of last year. The country has witnessed a dramatic increase in export of pellets during the CY’18 as compared to CY’17. Besides it is expected that the export duty on pellets will be reduced from 15% to 5%. With this new decision, exporters will try to avail more profit by exporting more pellets. However, this is going to adversely affect the Iranian domestic market.
Iran’s crude steel output is expected to be around 2.08 MnT in June’18 as against 2.15 MnT in previous month. According to Ardeshir Saad Muhammadi, Deputy Director IMIDRO Mining and Mining Industries Development, Iran’s crude steel capacity is likely to be expanded to 38 MnT p.a. by end of this year i currently stands at 32 MnT p.a. Furthermore Iran plans to increase its crude steel capacity to 55 MnT p.a by 2025. Rising crude steel capacities will further escalate iron ore demand in country.
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