Slightly increased iron ore prices in the Chinese spot market, coupled with reduced ocean freight rates for the benefit of FOB quotations, resulted in an increase in Brazilian iron ore prices by an average of $2/mt on a weekly basis.
Sinter feed fines of 65 percent iron contents are now traded for export from Brazil at $74/mt, the equivalent lumps at $86/mt and blast furnace grade pellets at $132/mt, FOB conditions.
In the Brazilian domestic market, the prices are now $68/mt for sinter feed fines, $80/mt for lumps and $126/mt for blast furnace grade pellets, ex-works, no taxes included.
In January, Brazil exported 27.5 million mt of iron ore (pellets excluded), 8.4 percent less than in December, while exporting 2.92 million mt of pellets, up 7 percent month-on-month.
The result is in line with Vale’s marketing strategy of focusing on the export of high grade and high value-added products, rather than increasing volumes in general.