Iron ore exports from India to China are decreasing sharply, according to statistics by the Indian Ports Association. India's major state-owned ports shipped 480 million mt of iron ore in November, down 35.4 percent compared to the same month of the previous year.
The crackdown on Illegal mining activities across the country, which led to a ban on iron ore exports, had been cited as primary reason for the significant shipment decline. "The new policies of the Central government and the states have led to a decline in exports of minerals, especially iron ores. We want the government to provide more conducive environment and liberal policies for Chinese companies to invest in India," commented Chinese Ambassador to India Zhang Yan.
Indian media reports that in an attempt to supply the domestic market, China is likely to search for new sources. Zhang Yan said that China could buy more from Australia and Brazil and look for new sources in African countries if it can not continue to buy iron ore from India.