Who would have thunk it? India on the verge of becoming a net importer of iron ore.
Imports up by 80% and exports down by 46.88%, leaving a tight 3.4million tonne surplus.
This kind of development must also be supporting the IO price.

https://steelguru.com/mining/indian-iron-ore-imports-shoot-up-80-exports-plunge/543350#tag

Indian Iron Ore Imports Shoot Up 80%, Exports Plunge

Mining News - Published on Tue, 02 Jul 2019

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Business Standard, citing the Union commerce ministry, reported that the country’s iron ore imports are steadily closing in on exports, trends in the past 3 years show. From 7.09 million tonnes in 2015-16, imports have spiked to 12.8 million tonne at the end of FY19. In contrast, exports of key steel-making ingredients have subsided from 30.48 million tonne to 16.19 million tonne in the comparable period, plummeting by 46.88 per cent. Imports of iron ore were driven by shore-based steel plants, which prefer to import more of higher grade ore. These plants imported larger quantities when the landed cost of the raw material was almost at par with domestic prices, which shot up to catch up with international prices. Iron ore prices at China’s Dalian stock exchange surged to a record on Thursday, snapping a three-day slide. The most active iron ore contract on the exchange soared 5.4 per cent to USD 121.93 per tonne.

As opposed to imports, exports of iron ore have fallen due to a fragile demand for low grade fines in international seaborne trade. China’s steel mills pulled back imports of the baser grade ore as the government there tightened environmental regulations to meet emission norms. Indian producers also found it unviable to export richer grade ore as it attracted 30 per cent duty.

However, the export outlook has improved in the last few months after a blast at Vale’s mines in Brazil shut off 70 million tonnes in annual supplies. The supply crisis has been magnified by a tropical cyclone striking Australia and impacting production at key mines. China is Vale’s biggest buyer of iron ore and to recompense the loss, it has scaled up buying from other markets, including India.

An iron ore miner said that “Global supply headwinds has meant that China is now buying more of lower grade fines from India. Inventory at China’s ports has touched multi-year lows and the country’s steel mills pursuing ramp-up plans are building up stocks. This has revived export demand for inferior grade ore. Indian exporters are also finding their shipments profitable with international iron ore prices rocketing to five-year highs.”

Source :BUSINESS STANDARD