South Africa's mining depression - wear-resisting ceramics to reduce costs

The downturn in commodity prices is having a particularly negative effect on South Africa, especially manganese, platinum group metals, iron ore and coal.

According to StatsSA's mining production figures as of the end of March, volumes have declined a staggering 18 percent from the same time a year ago.

The government agency said the hardest hit commodity was manganese ore, which declined 24.3 percent, followed by platinum group metals which fell 23.7 percent. Iron ore output slid 21.4 percent, coal production dropped by 15.8 percent, and gold output also slumped, though not by much, only 7.4 percent.

"This is the biggest year-on-year decline I have ever witnessed, and confirms that both commodity prices AND volumes are coming down sharply which has huge implications for the broader South African economy," said economist Mike Schussler, quoted by Mineweb.

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