Indian Iron Ore Export Volumes Halve in Feb'19
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Indian iron ore exports in Feb'19 recorded at 0.33 MnT. The exports dropped 49% as against 0.64 MnT in Jan'19. On yearly basis, the exports dropped by 84% as against 2.06 MnT in Feb'18. Exports during Apr'18-Feb'19, recorded at 5.62 MnT, down significantly by 57% against 13.01 MnT for same duration previous year FY'18 (Apr-Feb'18).
Why Indian iron ore export volumes dropped in Feb'19?
Sufficient Inventory available with Chinese Steel mills : The steel mills tend to stock material in January before approaching week long New Year holidays in Feb to ensure sufficient raw material availability post holidays. Besides, strict sintering regulations in north China resulted in narrow buying activities.
MMTC iron ore exports down 68% in Feb'19
SM Niryat stood the largest exporter of iron ore in Feb'19 at 0.17 MnT, up 12% on monthly basis. Rungta mines stood second largest exporter at 0.09 MnT( up 17% M-o-M)
Exports from MMTC in Feb'19 witnessed at 0.07 MnT, down 68% against 0.22 MnT in Jan'19.
Shipper-wise Indian Iron Ore Exports: Feb'19 vs Jan'19
| Shipper | Feb'19 | Jan'19 |
| SM Niryat | 167,980 | 150,539 |
| Rungta Mines | 89,000 | 76,000 |
| MMTC | 70,000 | 220,150 |
| Others | 0 | 191980 |
| Grand Total | 326,980 | 638,669 |
Qty in MT, Provisional data,
Source: Steelmint Research, Customs
China Iron Imports down 39% in Feb'19
China continued to be the largest importer of Indian iron ore in Feb'19 accounting 79% of total exports for the month at 0.26 MnT, down 39% as against 0.42 MnT in Jan'19. South Korea imported remaining 21% of imports at 0.07 MnT.
Exports from Paradip port up 16% M-o-M
In Feb'19, Paradip port stood the largest exporter of Indian iron ore at 0.24 MnT, up 16% on monthly basis. Exports from Vizag port witnessed drop of 68% at 0.07 MnT followed by Haldia at 0.02 MnT.
Outlook : SteelMint in conversation with market participants learned that few Odisha based exporters have turned active for iron ore exports amid hike in global iron ore prices after Vale disruption. Rungta mines and SM Niryat increased export for the month of Feb'19 by 17% and 12% respectively.
As per sources, an Odisha based merchant miner has booked 2-3 vessels of around 50,000t each carrying low grade iron ore fines for export during March/April.
