IRON ORE MARKET

The world’s iron ore market is experiencing significant growth providing many opportunities for new production. Brazil is the biggest producer of iron ore and in 2007 mined 343 million tonnes followed by China and Australia at 329.8 million and 299.1 million tonnes respectively. It is estimated that world iron ore production will grow by 8.7% in 2008.

Brazil is also the world's leading exporter of iron ore at 260 million tonnes with China the most significant importing nation accounting for 41% or 383 million tonnes of world iron ore imports in 2007.

This year, iron ore output in Australia will grow by approximately 21% to 362.8 million tonnes underpinned by production starts at miners including Fortescue Metals Group Ltd and the ongoing expansions at Rio Tinto Ltd and BHP Billiton Ltd.

Because of the strength in demand producers have secured record price increases in 2008.

For further information on the Australian and global iron ore markets please click here.

_{Source: United Nations Conference on Trade and Development, (UNCTAD)}