(Reuters) – International iron ore miner Rio Tinto on Friday raised its forecast for iron ore manufacturing prices for the total yr on Friday on account of rising labor prices and inputs, whereas larger than anticipated rainfall within the Western Pilbara area impacted its second quarter shipments.
The world’s largest iron ore producer now plans to ship the metal product close to the decrease finish of its vary of 325 million tonnes (mt) and 340 mt in 2021.
The miner now expects a unit price of $ 18.0 to $ 18.5 per tonne for the yr, up from its earlier estimate of $ 16.7 to $ 17.7 per tonne.
The world’s largest iron ore producer shipped 76.3 million tonnes (mt) of metal product for the quarter ended June 30, down from 86.7 mt a yr earlier. It barely exceeded a UBS estimate of 76 mt.
Manufacturing for the quarter was affected by rainfall within the Western Pilbara area, stated Rio, which recorded a 9% drop in manufacturing to 75.9 Mt.
Reporting by Sameer Manekar and Anushka Trivedi in Bengaluru; Enhancing by Krishna Chandra Eluri