Australian iron ore exports rose 10.3 percent year on year to 98 million mt in the third quarter of the year as steel markets in Asia continued to recover, according to the Australian Bureau of Agricultural and Resource Economics (ABARE) report released on December 10.
However, in the same period the value of iron ore exports increased only by one percent year on year and was down 26 percent quarter on quarter due to sharp declines in contract prices in the Japanese fiscal year 2009 (April 2009 to March 2010).
In the period in question, Australian iron ore exports to China declined 4.4 percent quarter on quarter but increased by 28.7 percent compared to Q3 2008, while 68.8 percent of the total exports went to China. The second major iron ore export destination of Australian iron ore was Japan, which accounted for 20 percent of total iron exports; iron ore exports to this country increased by 74.63 percent quarter on quarter, but were down 8.56 percent compared to the year-ago period. South Korea also increased its iron ore imports from Australia in the third quarter of the year, with a quarter on quarter increase of 46.92 percent; however, a decrease of 6.26 percent compared to Q3 2008 was recorded.
In the third quarter of 2009, the average export price for fines was US$63.45/mt, while the average export price of lump was US$74.41/mt
The ABARE report indicated that in the third quarter of this year Australia's iron ore output increased by 8.2 percent compared to the second quarter this year and was up 14.5 percent year on year, amounting to 106.97 million mt.