A recent meeting of the China Chamber of Commerce of Metals, Minerals and Chemicals Importers and Exporters (CCCMC) revealed that during January and February 2010 India imported 510,000 mt of steel products from China, up 351.57 percent year on year. In the years 2006 to 2009, China imported 74.78 million mt, 79.53 million mt, 91.04 million mt and 107 million mt from India in each year respectively, marking respective increases of 9.08%, 6.36%, 14.47%, 18.08%. Although the iron ore import amounts from India keep on increasing, their share of total Chinese iron ore imports has decreased, from 22.92% in 2006, 20.73% in 2007, 20.51% in 2008, to 17.71% in 2009.
"The increasing data reveals Indian domestic demand for iron ore is increasing," CCCMC chairman Xu Xu stated at the meeting, "The increasing demand will stimulate the Indian government and enterprises to invest in the steel industry." Data reveal India's steel product output is increasing, with output of 42.78 million mt, 53.08 million mt, 55.05 million mt and 56.6 million mt in the years 2006 to 2009. As steel output increases, Indian domestic iron ore will be the first-choice for local steel producers. Mr. Xu said Indian iron ore resources which used to be produced for exportation will be transferred to domestic steelmakers, and consequently the Indian iron ore supply for China will decrease." India still remains the third largest iron ore provider for China in recent years.