Brazil: Iron Ore Exports Down 17% M-o-M in Feb'20

World's second largest iron ore exporter - Brazil recorded 17% drop in its monthly iron ore export volumes to 22.10 MnT for Feb'20 as against 26.79 MnT in Jan'20, according to trade statistics released by Brazil customs. On yearly basis too, exports depicted fall by 24% as against 28.93 MnT in Feb'19.

Brazilian exports have decreased for the month due to material availability crises from Vale, amid dealing with the aftermath of Brumadinho dam disaster. Also, the fall in Chinese demand caused due to Chinese Lunar New Year holidays followed by Coronavirus outbreak led to decline in exports from Brazil.

Vale underwent collapse at its dam at Corrego do Feijao mine in Minas Gerais in Brumadinho, Brazil on 25th Jan'19. The miner later declared force majeure and put to halt various mines and dams.

Average iron ore prices up 5% in Feb'20:

The average price of iron ore exported from Brazil for Feb'20 witnessed 5% rise on a monthly basis to USD 68.5/MT, FoB Brazil as against USD 65/MT, FoB Brazil in Jan'20. However, on a yearly basis, the average price of iron ore in Feb'20 increased 29% as compared to Feb'19 price at USD 53.2/MT, FoB Brazil.