The Indian government has approved a new long-term agreement to export high grade iron fines and lumps to Japan and South Korea, according to an official government statement issued on Thursday, April 26.
The Indian government's apex policy-making body, the Cabinet Committee on Economic Affairs, has approved a new long-term agreement effective April 1, 2018 for a period of five years under which government trading firm MMTC Limited will export high grade iron ore fines and lumps of Fe content of 64 percent and higher and in volumes not exceeding an overall total of 5.5 million mt per year to these countries.
As per the agreement, Japan will receive shipments of 4.3 million mt per year, while the balance will be exported to steel mills in South Korea, largely to POSCO, the statement said.
The trading firm MMTC Limited will source the raw materials from the mines of government miner NMDC Limited, government officials said.