India iron ore exports to drop 4.5% on duties hike: report

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

30 Dec 2009

India sold 53.22mn tons of iron ore to overseas buyers in the seven months ended Oct. 31 from 44.06mn tons a year ago. India's iron ore exports may dip at least 4.5% below an earlier forecast after Government raised duties, according to reports. Exports may be below 105mn metric tons in the year ending March 2010, lower than a previous estimate of 110mn tons, R.K. Sharma, secretary general of the Federation of Indian Mineral Industries, was quoted as saying.
India sold 53.22mn tons of iron ore to overseas buyers in the seven months ended Oct. 31 from 44.06mn tons a year ago.
Government has imposed a 5% duty on exports of iron-ore fines and doubled the tax on overseas sales of iron-ore lumps to 10% to boost domestic supplies. The cash price for iron ore delivered to China, surged to the highest this year after the tax was announced Dec. 24.
The nation has exported in excess of 105mn tons in 2008-09, and producers were expecting demand to increase on rising purchases by China as the global economy recovers from the worst recession.

Source: India Infoline News Service