Spot Iron ore prices in Chinese seaborne market continued its downfall pattern as prices corrected further by USD 2-3 /MT on Monday. Fe 62% Iron ore fines prices are assessed at USD 63-64/MT, CIF China, which has breached to five-and-half years low.
Australian 62% Fe MNP fines for February delivery was traded at USD 63.5/MT on trading platform, globalORE. While, PB fines of Fe 62% was offered as low as USD 64/MT on the platform and MNP fines was offered at USD 63.5/MT, CIF China for Mar’15.
Slower growth rate in China followed by increase in Iron ore production by major miners in Australia and Brazil has led to a sharp fall in Iron ore prices.
Indian Steelmakers to benefit
Falling Iron ore prices in the Chinese market and strong Indian Rupee bought cheer for Indian steelmakers, who have been struggling with domestic Iron ore supplies for quite sometime. Iron ore imports to India have touched an all time of high in FY15. Imports were recorded at just above 9.5 MnT during Apr’14-Dec’14.
Imported Iron ore fines (Fe 64%) prices are assessed at USD 70-71/MT and lumps at around USD 90-95/MT, CIF India.
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