More than 9 million tons of metallic mineral products worth $10.5 billion were exported from Iran in the fiscal 2021-22, registering a 12% rise in tonnage and a 91% rise in value compared to the year before, according to Elaheh Mokri, an official with the Iranian Mines and Industries Development and Renovation Organization (IMIDRO).
Steel ingots worth $4.15 billion, long steel products worth $1.62 billion, copper cathode worth $1.36 billion, aluminum ingots worth 607 million, flat rolled steel products worth 494 million, zinc ingots worth 477 million, iron ore and concentrate worth 280 million and direct-reduced iron worth 238 million were the most important metallic mineral products exported during the period, the Trade Promotion Organization of Iran reported.
The export of these eight products collectively stood at $9.23 billion and they accounted for 87% of the total metallic mineral shipments in the fiscal 2021-22.
During the period under review, among the select metallic mineral products, only sanitary valves showed a downtrend in exports.
The most valuable exported products were copper cathode with an average price of $9,624 per ton, sanitary valves with $5,833 per ton, zinc ingot with $3,138 per ton, lead ingot with $2,263 per ton, aluminum ingot with $2,529 per ton, ferroalloy with $1,250 per ton and copper ore and concentrate with $1,073 per ton.
Referring to hurdles in the way of exports, the IMIDRO official said restrictions imposed on the export of metal ores and mineral products in the form of customs duties, decline in demand due to the Covid-19 pandemic and the mandate obliging exporters to list their product in the mercantile exchange for domestic sales, in addition to sanctions, have undermined traders’ medium- and long-term goals.
Steel Exports at $7.4 Billion
A total of 11.69 million tons worth $7.41 billion of steel were exported to 59 countries in the fiscal 2021-22 (ended March 20), IMIDRO reported earlier.
China with 3.54 million tons worth $2.02 billion, accounted for 30.3% of Iran’s total exports in weight and 27.3% in value to top the list of export destinations.
It was followed by Iraq with 1.9 million tons (16.3%) worth $1.26 billion (17%), Indonesia with 1.7 million tons (14.5%) worth $1.09 billion (14.8%), Thailand with 1.17 million tons (10%) worth $750.12 million (10.1%) and the UAE with 724,170 tons (6.2%) worth $544.35 million (7.3%).
The Iranian Steel Producers Association earlier reported that 7.68 million tons of semi-finished steel products were exported from Iran in the fiscal 2021-22, up 25% compared with the previous year.
Billet and bloom had the lion’s share of semis exports with an aggregate of 5.1 million tons, up 12% compared with the previous year’s corresponding period.
Slab exports amounted to 2.58 million tons during the period, up 62% year-on-year.
Exports of finished steel products grew by 20% to 3.4 million tons during the period.
Rebar accounted for the largest portion of finished steel products exported from Iran during the period, with 2.5 million tons. The total volume of Iran’s rebar exports experienced a 36% growth compared with the same period of last year.
Beam exports amounted to 145,000 tons during the period under review, down 15% YOY.
About 200,000 tons of L-beam, T-beam and other types were also exported from Iran during the period, up 6% YOY.
Hot-rolled coil exports amounted to 433,000 tons, registering a 20% decline compared with the year before.
Cold-rolled coil with 17,000 tons registered a 35% decline year-on-year and coated coil with 115,000 tons, up 46% YOY, was the other finished steel product exported from Iran.
Exports of direct-reduced iron increased by 25% YOY to 1.06 million tons, ISPA figures show.
According to IMIDRO, Khouzestan Steel Company exported 2.05 million tons of steel products during the period to register a 37% YOY rise and top the list of Iranian exporters.
KSC's exports in the 12th month of the last year stood at 454,815 tons, 225% higher compared with the same period of last year.
Mobarakeh Steel Company came next with 1.26 tons of exports during the 12-month period, up 1% YOY.
MSC exported 228,404 tons of steel products in the 12th month of the previous fiscal year, down 50% YOY. It was followed by Esfahan Steel Company with 1.12 tons of exports, 16% higher YOY.
The company's exports during the month ending March 20 stood at 81,867 tons, 1% less YOY.
Khorasan Steel Company’s rebar registered the highest growth of 604% in export volume with 78,801 tons during the 12-month period. Khorasan Steel Company’s monthly rebar exports also registered the highest growth in terms of volume, with 6,801 tons of exports, up 293% YOY.
TSE-Listed Mining Firms’ Sales Top $18 Billion
Tehran Stock Exchange-listed mining firms sold 5.54 quadrillion rials ($18.08 billion) of their products in the fiscal 2021-22 (ended March 20), registering a 71% growth year-on-year.
According to data released by IMIDRO, Mobarakeh Steel Company saw the highest volume of sales during the period with 1.43 quadrillion rials ($4.67 billion), up 85% YOY.
MSC is the biggest steelmaker in Iran and the Middle East and North Africa region, accounting for about half of the country's steel production.
The National Iranian Copper Industries Company came next with 789 trillion rials ($2.57 billion), up 89% YOY.
NICICO is a leading copper producer in the Middle East and North Africa region and its mines hold close to 14% of Asia’s copper deposits and about 3% of global reserves. It was followed by Khouzestan Steel Company (Iran’s biggest steel exporter) with 502 trillion rials ($1.64 billion), up 64% YOY; Golgohar Mining and Industrial Company with 477 trillion rials ($1.56 billion), up 63% YOY; and Esfahan Steel Company with 350 trillion rials ($1.15 billion), up 75% YOY.
The sales of mining firms in the 12th month of last year (Feb. 12-March 20) hit 650 trillion rials ($2.12 billion), registering a 41% and 31% growth month-on-month and YOY, respectively.
Mobarakeh Steel Company also had the highest volume of sales during the month with 123.94 trillion rials ($404.37 million), down 3% MOM but up 12% YOY.
It was followed by the National Iranian Copper Industries Company with 85 trillion rials ($277.32 million), up 1% and 13% MOM and YOY respectively.
Khouzestan Steel Company came next with 84 trillion rials ($274.41 million), up 134% and 124% MOM and YOY respectively; Golgohar Mining and Industrial Company with 77 trillion rials ($251.22 million), up 321% and 182% MOM and YOY, respectively; and Esfahan Steel Company with 33 trillion rials ($107.67 million), registering an 8% and 37% MOM and YOY growth.
The IMIDRO report shows the approximate share of mining and mining firms in the aggregate sales volume of all TSE-listed companies was 21% in the fiscal 2021-22.
IMIDRO Discovers Mineral Reserves Worth $28.7b
New mineral reserves costing over $28.7 billion have been unearthed in Iran, IMIDRO’s data reveal.
Rigorous mining expeditions conducted over eight years show that the country possesses 977 million tons of virgin iron ore reserves, 496 million tons of untouched coal reserves and 182 tons of new gold reserves. The excavation began in 2013 and continued till 20 March 2022, AlCircle reported.
The mined area also has been conserving other mineral reserves such as 103 million tons of barite, 85 million tons of rare earth elements, 6 million tons of antimony and 17 million tons of bauxite.
To top everything, 14 million tons of new lead reserves and 6 million tons of new zinc reserves have also been discovered.
To accelerate the country’s growth, the Iranian government has been considering various programs to advertise the mining sector as the bedrock of Iran’s economy.
Iran is one of the top 10 mineral-rich countries with 81 types of minerals.
“Construction materials, including gravel, rubble stones, sand and different types of stones, account for 62% of Iran’s mineral reserves, metal minerals constitute 10-15% of total reserves and the rest are non-metallic minerals,” Alireza Shahidi, the head of Geological Survey and Mineral Exploration of Iran, said.
Although the country has high potentials in this field, the dearth of vital machinery and equipment, and the inability to access financial resources and foreign investments due to persistent US sanctions have prevented the development of the Iranian mining sector.
The legit reserves in Iranian mines are estimated at approximately 60 billion tons which will expand to 100 billion tons as soon as the Industries, Mining and Trade Ministry’s exploration programs are conducted over 500,000 square kilometers of new minable land.
The government programs crafted for promoting this industry mainly focus on indigenous mineral resources.
74% Rise in Explorations
IMIDRO invested 4,722 billion rials ($15.41 million) in exploration in the fiscal 2021-22, 74% more than the year before, according to Ahmad Fattahi, the head of Exploration Department of the organization.
“A total of 2,716 billion rials [$8.86 million] were invested by the National Iranian Copper Industries Company, 1,673 billion rials [$5.46 million] by the Iran Minerals Production and Supply Company, 159 billion rials [$518,760] by Iran Alumina Company, 143 billion rials [$466,557] by IMIDRO Exploration Department, 10.3 billion rials [$33,605] by IMIDRO rare earth elements project and 20.5 billion rials [$66,884] were invested by Sangan Iron Ore Mine Complex last year,” Fattahi was quoted as saying by IRNA.
IMIDRO and its subsidiaries carried out 221,600 meters of exploratory drilling last year, which indicate a 30% increase compared with the year before, he added.
