A major pig iron producer in the southeastern state of Minas Gerais told SteelOrbis that the company is paying, $49.50/mt for small lumps (hematitinha), ex-mine, no taxes, but including PIS Cofins levies.
The price compares to $54/mt one month ago, which at the time was stable for two months.
The source added that the alternative iron ore of the sector, itabiritic lumps supplied by smaller miners, are currently sold at $39.71/mt, CFR, full taxes, reflecting a reduction of 17 percent in the last month in $ terms due to the devaluation of the BRL vis-à-vis the $.
Meanwhile, the country’s ministry of development, industry and foreign trade informed that the country’s exports of iron ore, pellets excluded, reached 21.32 million mt in February, 11 percent more than in January.
The average FOB price, $43.14/mt, compares to $42.81/mt FOB in January, which in spite of the small increase, is celebrated as the first positive price movement in recent months, coupled to a 20 percent increase in the sales to China, which reached 11.62 million mt.
In February, the Brazilian exports of pellets went down from January by 2.6 percent to 3.94 million mt, at an average FOB price of $88.52/mt, 4 percent lower.