August 23,
There is good news for Indian players in Iron ore and Coal shipping, which form the major chunk of the country’s EXIM trade. According to a latest market report by Norway’s largest Investment Bank, worldwide Iron ore and Coal trade flows are expected to increase substantially within the next 5 years.
The report titled ‘Dry Bulk Outlook: Iron ore and Coal’ notes that from 2009 to 2015, Iron ore exports is expected to increase by 81.1%, representing an annual average growth of 10.4%. It also noted that Australia will remain the largest Iron ore exporter in the world, followed by Brazil.
According to the report, the actual coal exports will grow by 59.5%, representing an annual average growth of 8.1%. Australia, the report said, will also remain as the top exporting country of coal, followed by Indonesia.
The ports included in the study accounted for about 94.8% of global seaborne Iron ore trade. The seven Indian ports that are covered in the report include Paradip, New Mangalore, Mormugoa, Ennore, Chennai, Visakhapatanam, and Haldia Complex.
Industry statistics indicate that while India imports about 90 million tonnes of coal (thermal and coking coal together) annually, it exports more than 120 million tonnes of Iron ore. Of this, coal trade is expected to grow exponentially thanks to the numerous power projects and huge expansion programmes unveiled by the steel industry.
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