A MID-TERM OVERVIEW OF IRON ORE SUPPLY/DEMAND DYNAMICS Mr . Pavan Ku. Kakani, Aditya Birla Group

Global Steel & Iron Ore

World’s Steel making Capacity (Nominal) 2,380.69 MnT World’s Steel making Capacity (Nominal) 170,000 MnT World’s Crude Iron ore Reserve (Estimated) 5.35% Growth rate of World’s Iron ore Production (Last 16 yrs CAGR) Source:- OECD Steel Committee , U.S. Geological Survey, World Steel

World Steel in a Glimpse 6.4% 1.9% Source:- World Steel Association

China’s Steel Volume Statistics Source:- Mysteel, World Steel Association , Internal Estimates

China’s Steel Trade IMPORT EXPORT Long ( 12%) Flat (81%) Long (45% ) Tubular (7%) Flat (81%) Long ( 12%) EXPORT Tubular (11%) Flat ( 44% ) Long (45% ) Increase in Domestic consumption of steel by China Acceleration of mega infrastructure projects “OBOR” Migration from Midgrade steel to High Quality steel Adverse trade taxations by importing countries like Antidumping ,Safeguard duty , import duty Closure of secondary outlets of Chinese steel Source:- Myteel, World Steel Association, Internal Estimates

China’s Ironore Demand vis-a vis availibility Importer’s Share Source:- CLSA, U.S. Geological Survey, Internal Estimates

WORLD STEEL DEMAND OUTLOOK

Indian Steel & Raw Material

Indian Steel Performance 2 % Source:- Joint Planning Committee , MOS, PIB

Steel Trade Scenario Source:- Joint Planning Committee , MOS

Iron Ore Production Source:- IBM, MOM

Pellet Industry Source:- PMAI, Internal Estimates

You can reach me at Pavan.kakani@adityabirla.com THANKS! You can reach me at Pavan.kakani@adityabirla.com