CVRD deals with Baosteel for iron ore supply

CVRD deals with Baosteel for iron ore supply

According to the recent news in the market, Brazilian mill CVRD (Companhia Vale do Rio Doce) has signed a long-term deal with Shanghai based Baosteel Group Corporation for suppliance of iron ore. The agreement will be valid from 2006 through 2016. Iron ore supply to be made by CVRD will increase every year to meet the growing requirements of Baosteel and will reach 14 million tons per year from 2010 onwards. CVRD has agreed to supply 6 million tons iron ore each year, according to the previous agreement that was signed in October 2001.