The government of India has given its approval to renew long term agreements with Japanese and South Korean steel mills for the supply of high grade iron ore.
The new agreements will run until March 2018, and the quantities covered will be in the range of 3.8 million tonnes to 5.5 million tonnes per year.
The iron ore will be supplied primarily from the mines of the state-owned National Mineral Development Corporation (NMDC).
The contract will be executed by the Metals and Minerals Trading Corporation of India Limited (MMTC) under the country’s Department of Commerce.
Iron ore of higher grade has been supplied by India to Japan and South Korea during the last four to five decades.
These new agreements are expected to strengthen Indo-Japanese collaboration in several areas of mutual interest, including technology transfer, joint venture, investment, etc.
The agreement will also help utilize surplus production of iron ore currently available in India.