Indian Iron Ore Exports Fall 23% in Jan'19
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Indian iron ore in Jan'19 was recorded at 0.64 MnT as against 0.83 MnT in Dec'18. On yearly basis, the exports dropped by 46% as against 1.18 MnT in Jan'18. Exports during Apr'18-Jan'19, recorded at 5.30 MnT, down significantly by 52% against 10.96 MnT for same duration previous year FY'18 (Apr-Jan'18).
Why Indian iron ore export volumes dropped in FY19 (Apr-Jan)?
Delay in resumption of exports from NMDC:
NMDC's LTA (Long-term agreement) to export iron ore to South Korea and Japan had expired owing to which the miner recorded nil exports for a period of five months from Apr'18 to Aug'18. On 25th April'18, NMDC received approval for supply of iron ore to Japan and South Korea for a period of three years . Later the miner resumed exports in Sep'18.
Goa Mining Ban impacted export volumes adversely:
Operation at Goan mines was put to halt owing to illegal mining case post-Mar '18. The mines were permitted to export iron ore mined previously to the ban imposition (15th Mar'18), on which royalty was paid, and material lying at jetties, with the halt in new mining operations. This resulted in declining exports from Goa since Mar'18 and dropped to nil in June'18. Vedanta recorded no exports post-Apr '18.
Rungta Mines exports drop 72% in Jan'19
MMTC stood the largest exporter of iron ore in Jan'19 at 0.22 MnT, down 26% on monthly basis. SM Niryat stood second largest exporter at 0.15 MnT followed by VM Salgaonkar at 0.10 MnT.
Exports from Rungta Mines in Jan'19 witnessed at 0.08 MnT, down 72% against 0.27 MnT in Dec'18.
Shipper-wise Indian Iron Ore Exports: Jan'19 vs Dec'18
| Shipper | Jan'19 | Dec'18 |
| MMTC | 220,150 | 297,920 |
| SM Niryat | 150,539 | 167,870 |
| VM Salgaonkar | 101,100 | - |
| Rungta Mines | 76,000 | 274,700 |
| Mohanty | 54,000 | - |
| Bagadiya Brothers | 20,000 | - |
| Others | 16,880 | 85,000 |
| Grand Total | 638,669 | 825,490 |
Qty in MT, Provisional data,
Source: Steelmint Research, Customs
China Iron Imports down 31% in Jan'19 -
China continued to be the largest importer of Indian iron ore in Jan'19 and imported 0.36 MnT down 31% as against 0.53 MnT in Dec'18. South Korea imported 0.08 MnT followed by Japan at 0.07 MnT.
In Jan'19, Vizag port stood the largest exporter of Indian iron ore at 0.22 MnT, down 26% as against 0.30 MnT in last month. Exports from Paradip port witnessed at 0.21 MnT followed by Mormugao at 0.10 MnT.
