After a $5/mt increase last week, interrupting five weeks of consecutive decline, iron ore prices in Brazil have increased again week-on-week, now by $3/mt, reflecting higher prices in the Chinese spot market and stable ocean freight rates (neutral on FOB quotations).
Sinter feed fines of 65 percent iron contents are now estimated to be traded for export from Brazil at $68/mt, the equivalent lumps at $78/mt and blast furnace grade pellets at $129/mt, all FOB conditions.
In the Brazilian domestic market, for equivalent ores, the prices are $62/mt for sinter feed fines, $72/mt for lumps and $123/mt for blast furnace grade pellets, ex-works, no taxes included.
Final export numbers for August, unveiled by the ministry of development, industry and foreign trade (MDIC), indicate lower export volumes of iron ore than previously announced.
Iron ore (pellets excluded) exports reached 25.80 million mt in August, against 32.41 million mt in July. Conversely, pellets exports have increased to 2.50 million mt in August from 1.85 million mt in July.
The main destinations for iron ore exports were Asia (21.84 million mt, of which 18.65 million mt to China) and Europe (3.03 million mt), while small volumes were shipped to South America and the Middle East.
The main destinations of pellet exports were Asia (1.55 million mt, of which 1.22 million mt to China) and the Middle East (500,000 mt), with small volumes shipped to Africa, the US and Argentina.
