Indian exports of iron ore in the fiscal year 2022-23 are expected to total 20 million mt, 24 percent lower than the previous fiscal year and falling to a five-year low, according to the Federation of Indian Mineral Industries (FIMI) on Thursday, March 23.
According to FIMI, the drop in exports could be attributed to the 50 percent export tax imposed by the government on low grade lumps and fines and 45 percent export tax on pellets.
It said that, even though the levy was withdrawn in November 2022, iron ore shipments gained momentum only from February this year onwards, with the market in China picking up.
Government data showed that in the April 2022-January 2023 period, iron ore exports to China amounted to 10.6 million mt, down 43 percent year on year.