Iron ore market in slump

Some iron ore mines have been storing their products in depots due to the low global prices, ISNA quoted a member of the Iron Ore Producers and Exporters Association of Iran as saying.

“They plan to sell it when the prices are stable,” said Parva Soltani, blaming Australia for the current global challenge in iron ore prices.

iron ore, for the past few years, has been a cause for concern in the domestic steel sector.

It has been among the hardest hit industrial commodities in Iran, with prices falling more than a quarter last year.

After reaching $100 a ton last May for the first time since September 2012, prices fell to $89 in mid-June 2014 before recovering to $98 in July.

Iron ore plunged 44% last year to a five-year low as surging supplies from Brazil’s Vale SA and BHP Billiton Ltd. and Rio Tinto Group in Australia created a glut just as China’s economy slowed.

By Financial Tribune