Iron ore exports fall

The iron ore exports fell marginally to 93 million tonnes in 2007-08 from 93.7 million tonnes in financial year 2006-07 due to surging freight costs (ocean and railway), infrastructure bottlenecks, shortage of ocean vessels and export duties imposed by the Centre.

"The 100 million-tonne mark has become elusive. Last year, there was a high demand for Indian iron ore from China. Australia and Brazil could not make the shipments in time due to inclement weather and port congestion. However, we could not capitalise on the demand since we had our own share of problems," S B Chauhan, Advisor, Federation of Indian Mineral Industries (FIMI), said.

According to FIMI, ocean freight rates rose by 56 per cent and the railway freight (for iron ore) soared by 68 per cent in the last financial year.