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Green shift stokes demand for high-grade iron ore

This is amid a commodity boom led by supply crunch, China's huge steel appetite and an infrastructure-led global economic recovery

Singapore

AN iron-ore boom, led by a trifecta of supply crunch, China's huge steel appetite, and an infrastructure-led global economic recovery, is stoking demand for high-grade or "greener" iron ore, as the decarbonisation push moves centrestage in the global steel industry.

All of that is showing up on the Singapore Exchange's commodities futures market, where trading in the reddish metal makes up the lion's share of volume.

"Money is pouring into infrastructure growth and a lot of that requires steel, which clearly still comes from iron ore," said SGX's head of commodities William Chin. "And then there is tightened supply as Covid-19 has presented supply-chain constraints as demand is strong...

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