Canberra: Australian iron ore exports are forecast to jump 17% in 2013 to 2014 and average 8% growth over the next 5 years despite softening demand growth in China.
The Bureau of Resources and Energy Economics (BREE) said Australia controls two thirds of the world seaborne market for iron ore. BREE reckons China will be importing 1bn tonnes of iron ore by 2018. The bureau said China would likely import 872 tonnes of iron ore next year.
“Australia’s iron ore exports are projected to increase at an average rate annual rate of 8 per cent a year between 2014 and 2018 to total 847m tonnes in 2018,” BREE said. “The strong growth is being supported by many of the mines in the Pilbara region of Western Australia being at the lower end of the cost curve.”
The Baltic Dry Index snapped a losing curve yesterday to climb back over the psychologically important 2,000 mark, ending the day on 2,008 points. [03/10/13]
