China Securities Journal reported quoting an unnamed source familiar with the situation said talks between Chinese steel mills and iron ore miners are expected to be completed before April 1st.

The source said a consensus on iron ore price hikes, as well as experience from last year failed negotiations would help this year talks finish in time. Chinese steel mills, led by the country largest listed steel producer Baosteel, insist on a term pricing scheme, but do not rule out the possibility of six month term contracts.

A Chinese newspaper reported earlier in the week that Australia's big miners were asking their Japanese and Korean customers to accept a 40% hike in 2010 term prices.