Antipyretic of iron ore and other resources
From Australia to Peru to Indonesia, the global demand for large commodities such as coal, iron ore and copper for several years has brought wealth to the mining areas and also promoted the economic g...
From Australia to Peru to Indonesia, the global demand for large commodities such as coal, iron ore and copper for several years has brought wealth to the mining areas and also promoted the economic growth of rich countries.
Now, the "resource feast" is beginning to end, giving the local people the same pain as the joy they brought.
American media quoted Bela Expodiso, an Australian real estate agent, saying that 2 years ago, she could sell 25 houses in the small Australian town of Moran Ba, Queensland, as the price of coal rose and attracted millions of workers and investors to the small town of Queensland. And this year, in May, she sold only 3.
"The town is seriously injured." A coal miner at Goonyella Riverside said: "it feels like a chronic death."
The price of resources plunged
The mining boom has even saved Australia from the global financial crisis that hit other developed economies. Akers Bodhi Alfonso said that a single - family house near her company rent nearly $7000 a month during the rapid development of the local coal industry, and now the house has been vacant for a year.
In recent years, various factors have led to a fall in commodity prices or even dramatic collapse. Among them, the price of steel-making coal has fallen by half from about $110 per ton in early 2012, to the lowest level in 7 years. The price of iron ore dropped from $190 per ton in 2011 to less than US $95. Prices of copper, gold and other commodities have also declined to varying degrees.
There is optimism that the price is still higher than 10 years ago, there is still hope that the recovery, but the current price has made some mineral company loss. Industry giants like BHP, Rio Tinto PLC (Rio Tinto PLC) and the Anglo American PLC have said they will reduce the cost to deal with market volatility.
This means closing mines, temporarily not launching new projects, and laying off workers in some mines. Although not all mines are as bad as molabba, the downward trend is a reminder that over reliance on commodities can be dangerous.
Heavy downsizing of the mining industry
In South Africa, platinum, gold and coal companies have laid off thousands of people, including small mines such as Carlton Ville in Western Johannesburg. In a recently released annual report, local officials said they were "sorry" for overly dependent on mining.
In addition, in the year ended in March 2013, the royalties and rents of mining and oil received by the government of South Africa also dropped by 20%. Last year, South Africa's overall economic growth slowed from 5.6% in 2006 to 1.9%, partly due to declining resource income.
Brazil's economy benefited from exports of iron ore and other commodities. In 2010, the country's economy grew by 7.5%, while the 3 years after that saw a sharp decline. According to the data released by the Brazil Bureau of geographical statistics at the end of last month, Brazil's economy grew by only 0.2% in the first quarter of this year. The latest forecasts of the organisation for economic co operation and development and the International Monetary Fund show that Brazil's economic growth in 2014 was only 1.8%.
And the work in Palau, the northern part of Brazil, is hard to find. "I have lived here since 1997, and I have never had such a lack of employment opportunities as I do now." Santos, a 38 year old mechanic, said.
At present, the Australian government is trying to fill the gap between income and job losses caused by the ebb tide during the resource boom.
The Australian economy is heavily dependent on international trade, and iron ore and coal are ranked in the top two of the country's exports, while 8 of the first ten of the goods and services in Australia are commodities. In the heyday of commodity exports, the annual salary of coal mine truck drivers is 200 thousand Australian dollars (about 1 million 168 thousand yuan).
Today, the coal rich Queensland feels a bit of deep pain. According to data from the Queensland Resources Committee, nearly 10 thousand of the miners have been laid off because of the loss of many coal mines.
According to the Jody Elliott Consulting of professional Human Resources Inc (Jody Elliott Consulting), the Australian mining industry has laid down 30 thousand people in the past 18 months. Last year was Australia's worst year of employment in the past 20 years, largely due to the weakening of commodities. According to the data released by the Australian Bureau of statistics, Australia's unemployment rate reached 6% in January this year, the highest level since July 2003. However, the unemployment rate remained at 5.8% in April, better than expected.