UNPRECEDENTED BOOM ON IRON ORE MARKET CONTINUES
Press Release
TAD/1806
UNPRECEDENTED BOOM ON IRON ORE MARKET CONTINUES
19951031 GENEVA, 25 October (UNCTAD) -- Global demand for imported ores in 1995 was growing faster than in 1994, according to experts from 26 iron-ore producing and consuming countries, who met here this week under the auspices of the United Nations Conference on Trade and Development (UNCTAD).Trade figures accounting for 85 per cent of world iron ore trade indicated that iron ore exports had grown by 13 per cent, and imports by 11.5 per cent during the period January-June as compared to the same period of 1994. The 1994 volume of world trade was 430 million tons.
Faster economic growth and higher levels of industrial output had led to a 4 per cent rise in world steel output during the first nine months of 1995. As a result world iron ore consumption and trade had increased sharply. This new peak in world iron ore trade reflected the sharp rise of demand in the main import markets. China registered a spectacular rise of over 50 per cent. Japan had an increase of 7.5 per cent during the first half of 1995 owing to the acceleration of industrial and steel production. The higher levels of investment in the European Union continued to stimulate total steel output and demand for imported ores in its 15 member States, particularly in Germany, France and Italy. New peaks in ferrous scrap prices reached in 1995 had caused a surge in demand for primary iron products and, therefore, in iron ore trade. The outlook for the iron ore market in 1996 remains bright, but less buoyant.
Experts from government and industry from the following countries reported on developments in their domestic markets and the activities of companies: Australia, Brazil, Canada, India, Republic of Korea, Russian Federation, South Africa, Sweden and the United States.
Guest speakers included Anthony Trickett, General Manager of the International Iron and Steel Institute (Belgium), and Michel Boucraut, former Director of Raw Material Division of Usinor/Sacilor (France), who assessed the likely scenarios for the iron ore industry up to the year 2005, and John Roggers, Vice-President of Societe Generale de Surveillance (SGS, Switzerland), who presented his company's experience in dealing with issues of quality control of iron ore trade products.
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