| Date: |
26-05-2011 |
| Subject: |
New Opportunity For Iron Ore Exports To India |
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Quality problems in India's iron ore industry could boost Australian exports by around 10 to 15 per cent.
India, the world's third-largest iron ore exporter, exports about 80 million tonnes of ore to China every year.
However, the trade has been under a cloud in recent weeks, as traders from the subcontinent attempt to get around government imposed export bans by shipping poor quality iron ore to Chinese steelmills.
Mark Pervan, head of commodity research at ANZ, says if the issue isn't resolved, China could look to Australia to supply an extra 20-30 million tonnes of ore every year.
"There's a great opportunity for us to respond pretty quickly and I think it's a matter of the steel mills now looking to try say we now have to try to adjust down our exposure to Indian iron ore," he said.
"They're already now building relationships in Australia and I think this will only speed that up."
Source : abc.net.au
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