Source:Frontier Securities                      Date: 14 September, 2011

Favorable commodity prices continue to benefit Mongolia's mining sector and exports are up 61 percent from last year. The rise in prices in Mongolia's various exports are contributing to Mongolia's growth, especially minerals and petroleum.

Coal and mineral prices are leading the mining boom in Mongolia. Coal's average prices rose 4.7 percent since summer began in June. The total value of coal exports are up 138 percent from last year at USD 1.15 billion. Iron ore, zinc ore, gold, and crude oil's values are all up. Iron ore and zinc ore in particular are up 100 percent to USD 13.50 per pound and USD 0.83 per pound.

Copper and unprocessed cashmere both experienced increased values; however consumption was down for both at 1 percent and 5 percent respectively.

However, the consumption and value various other imports also experienced growth. Both the value and volume of trucks imported to Mongolia doubled since last year. Diesel fuel consumption is up 26 percent, while people in Mongolia suffer a 63 percent increase.