Dry Commodities
Iron Ore
Iron ore is traded by iron content, impurity profile and product form — fines, lump, pellets and concentrates.
MARKET REFERENCES
How the market commonly references price
There is rarely one universal price for a physical commodity. Commercial value depends on the benchmark, specification, origin, destination, timing and logistics agreed between buyer and seller.
- Platts IODEX CFR China — 61% Fe benchmark from 2026
- Grade / brand differentials
- Lump and pellet premiums
TYPICAL COMMERCIAL STRUCTURE
How physical pricing is often built
A typical fines formula is IODEX average over the agreed pricing period ± quality / brand differential. Higher- or lower-Fe cargoes are normalized for iron content and impurities; lump and pellet trades may add a separate premium.
PRICE DRIVERS
What moves the physical differential?
- Fe content
- Alumina / silica / phosphorus
- Steel mill margins
- Chinese port inventories
- Freight
PHYSICAL TRADE
Commercial considerations
CFR Qingdao / China is the dominant seaborne benchmark basis. FOB origin prices can be derived using freight netbacks.
The examples on this page describe common market conventions at a high level. Actual contracts can use different pricing periods, assessments, quality adjustments, Incoterms and negotiated differentials.
Market methodology reference: view source / methodology
PHYSICAL COMMODITY BROKERAGE
Discuss a Iron Ore requirement.
Share the specification, quantity, origin or destination, delivery basis and timing.