Neville Power, chief executive officer of Fortescue Metals Group, one of the major Australian iron ore suppliers to China, said Premier Li Keqiang made a very powerful speech.

Neville Power, chief executive officer of Fortescue Metals Group

"It's a very inspiring speech that he made," he said. "In particular, I thought it interesting that he talked about ongoing urbanization in China, especially that northwestern, western and central provinces will continue to improve the standard of living."

This will create increasing demand for iron ore because the infrastructure construction and urbanization process will need steel, said Power.

"Li also talked about encouraging micro and small enterprise to increase employment in China. When they grow, they will need services, factories and infrastructure that will increase demand for steel.

"All these economic developments will create demand for iron ore which is closely related to our businesses."