Haematite and magnetite are the most important iron ores in India. About 59% haematite ore deposits are found in the Eastern Sector while about 92% magnetite ore deposits occur in Southern Sector, especially in Karnataka. Of these, haematite is considered to be superior because of its higher grade.
As per UNFC system, the total resources of haematite as on 1.4.2013 is estimated at 20,576 million tonnes of which 6,607 million tonnes (32%) are under ‘Reserves’ category and the balance 13,969 million tonnes (68%) are under ‘Remaining Resources’ category. By grades, Lumps constitute about 58% followed by Fines (18%), Lumps with Fines (16%) and the remaining 8% are Black Iron ore, Unclassified, Not-known and Other grades. Major resources of haematite are located in Odisha (7,183 million tonnes or 35%), Jharkhand (5,069 million tonnes or 25%), Chhattisgarh (4,031 million tonnes or 20%), Karnataka (2,269 million tonnes or 11%) and Goa (1,019 million tonnes or 5%). (Source: IBM)

India has ~8% of the world’s iron ore deposits. The country ranks fourth in terms of iron ore production worldwide, and the production of iron ore in FY20 stood at 206.45 MT. The country’s largest iron ore producers: National Mineral Development Corporation (NMDC) and Steel Authority of India (SAIL) had a finished iron ore production capacity of 43mn tonnes and 37mn tonnes respectively, in FY20. NMDC plans to increase its  production capacity to 67 million tonne per annum (MTPA) The total iron ore production of NMDC and SAIL stood at 32.4mn tonnes and 28mn tonnes in FY19.

EXPORT POLICY FOR IRON ORE

• Exports of iron ore up to 64% Fe content is freely allowed.
  
  
• Export of iron ore of Goa origin to China, Europe, Japan, South Korea and Taiwan (irrespective of Fe content) and export of iron ore from Redi region to all markets (irrespective of Fe content) is also freely allowed.
  
  
• The export of iron ore with Fe content above 64% is canalized through MMTC.
  
  
• KIOCL is the canalizing agency for its own products (iron ore concentrates and iron ore pellets) since it is a 100% E.O.U (export oriented unit).
  
  
• High-grade iron ore (Fe content above 64%) from Bailadila in Chhattisgarh is allowed to be exported with restrictions on quantity imposed primarily, with a view to meet domestic demand on priority. Present quantitative ceiling of iron ore in operation, is as under:
  

• In addition to the above, export of iron ore of above 64% Fe content is also allowed against licenses issued by DGFT.
  

Currently, exports of iron ore, for both lumps and fines varieties, of 58% Fe content and above attract a 30% duty.

Top export destinations of “Iron ores and concentrates, including roasted iron pyrites.” from India in 2019:

• China with a share of 76% (1.8 billion US$)
• Japan with a share of 7.18% (169 million US$)
• Korea with a share of 4.97% (117 million US$)
• Oman with a share of 3.38% (79 million US$)
• Turkey with a share of 2.29% (54 million US$)
• Malaysia with a share of 1.67% (39 million US$)
• United Kingdom with a share of 1.46% (34 million US$)
• South Africa – 11.5 million US$
• United Arab Emirates – 8.97 million US$
• Qatar – 8.05 million US$