Indian iron ore export shipments remain stable at around 4 mn t in Feb'21

Indian iron ore export shipments were recorded at 3.97 mn t in Feb'21, largely stable as compared to 3.98 mn t in Jan'21, according to vessel line up data maintained with SteelMint. During early Jan, Chinese participants remained active in restocking material ahead of the Golden week holidays. However, towards the second half of Jan trades slowed down.

Indian iron ore export shipments to China up in Feb'21:
China continued to remain the largest importer of Indian iron ore for the month of Feb'21 at 3.70 mn t against 3.62 mn t in Jan'21 followed by Japan at 0.22 mn t.

Rungta mines remained the largest exporter: Rungta mines was the largest iron ore exporter at 0.76 mn t in Feb'21 against 1.05 mn t in Jan'21. Vedanta was the second-largest exporter at 0.35 mn t, followed by Kashvi Power and Steel at 0.33 mn t

Shipper-wise India iron ore export Feb'21 v/s Jan'21

Qty in mn t, Provisional data,
Source: SteelMint Research, Customs

Port wise Indian iron ore exports
In Feb'21, Paradip port accounted for 1.27 mn t exports (up 8% m-o-m) followed by Murmugao at 1.01 mn t and Vizag port at 0.53 mn t.

Export prices up tracking global price gains - SteelMint's monthly average low-grade Indian iron ore fines (Fe 57%) export index was assessed at $111.5/t, CFR China in Jan'21 as against $97.8/t, CFR China in Dec'20. This was in line with the global iron ore price hike. Monthly average of fines (Fe 62%) increased to $168/t, CFR China in Jan'21 as against $155/t, CFR China in Dec'20.

Outlook:Indian iron ore export bookings for low grade ore may slow down slightly next month due to new production curbs announced in the city of Tangshan on 2ndMar'21 which is expected to continue for around a fortnight.The Tangshan Government's plans to close seven smaller blast furnaces in March and reduce emission by 40% in CY 21 has firmed up market expectations of a reduction in Chinese crude steel output for the whole year.