World iron ore production hits all-time high at 1.92 billion tonnes in 2011 – UNCTAD

World iron ore recorded an all-time high production of 1.92 billion tonnes in 2011, UN’s Conference on Trade and Development (UNCTAD) said July 31, 2012 in a new report.

The iron ore output, which is vital for the steel production, was up 4.7% from 2010, UNCTAD’s Iron Ore Market 2011–2013 reported.

“Output of this commodity, vital for steel production, increased in most regions and countries except Europe, where production stagnated,” said the report.

Major producers during the year, UNCTAD said were Australia which increased production by 12.7%, Brazil by 5.1%, and China by 2.1%, but production in India declined to an estimated 196.0 million tonnes, down 7.5%.

World iron ore production continued to grow after the gradual post-crisis recovery of the global steel industry, as new mining capacity starting operation since May 2011 reached 125 million tonnes, the report indicated.

International iron ore trade in 2011 reached a record 1.115 billion tonnes as exports increased for the tenth year in a row, the report says, indicating that developing countries accounted for 49.5% of total exports in 2011. “Their exports of iron ore have grown by 104.8% since 2002,” it adds.

Iron ore prices continued on an upward trend through most of 2011, the report says, as Chinese demand recovered and domestic Chinese iron ore producers were unable to keep up with this demand.

Towards the end of 2011, however, prices declined in response to a slowdown in Chinese growth and the worsening economic outlook for European countries, the reported stated.

By Ekow Quandzie