Rio Tinto eyes Indian iron exporter

Rio Tinto, the world's second-largest iron ore exporter, is looking at buying Mitsui & Co's controlling stake in Sesa Goa, India's biggest private iron-ore exporter, worth about US$860 million ($1.26 billion). Arcelor Mittal, the world's biggest steelmaker, and BHP Billiton are also among bidders for the holding.

India's economy has expanded at an average of about 8 per cent since 2003, the fastest pace since the country's independence in 1947. India's steel use is forecast to rise 7.7 per cent a year from 2010 to 2015, faster than the 4.2 per cent annual growth globally, according to the International Iron & Steel Institute.

- REUTERS