* Nickel up more than 20 pct in year to date * China copper imports jump 10.8 pct y/y in March * Coming up: U.S. weekly jobless claims at 1230 GMT (Updates prices, adds comment, detail; previous SYDNEY) By Harpreet Bhal LONDON, April 10 (Reuters) - Nickel prices rose to their highest level in more than a year on Thursday on concerns about shortages following a ban on ore exports from Indonesia. Other industrial metals also made small gains, supported by prospects that U.S. interest rates were not likely to rise as soon as previously thought. Nickel prices on the London Metal Exchange (LME) rose to a session high of $17,111 a tonne, its highest since late March last year. It was up more than 2 percent at $17,030 a tonne at 0938 GMT. Prices have risen 21 percent so far this year, making nickel the best performer in the base metals complex, supported by a ban on shipments of unprocessed ore by top exporter Indonesia. "We expect the market to be in a small surplus this year and move into a significant deficit next year if Indonesia holds its course," said Nic Brown, head of commodities research at Natixis. "But beyond that, in 2016 we are going to get more processing plants up and running (in Indonesia), so the shortage could be temporary." Seeking to reap more benefits from its mineral wealth by pushing domestic processing, Indonesia in January banned exports of nickel ore, which is used by stainless steel producers in China as a cheaper alternative to refined nickel. Reduced supply of nickel pig iron could mean that China increases its use of the higher-grade refined metal, underpinning global prices. "We have seen very good nickel buying here today," said one trader in Singapore. The trader said buying was coming from China, while other funds, which had been long nickel, were taking profits. Base metals were also supported by minutes of the Federal Reserve's March meeting, which suggested U.S. policymakers would be more cautious about raising interest rates than some analysts had expected. Copper prices rose 0.1 percent, to $6,625 a tonne, bouncing off a two-week low hit in the previous session. China's overall exports unexpectedly fell for a second straight month in March and import growth dropped sharply, intensifying concerns about weak manufacturing and slowing growth in the world's second-largest economy. China's imports of copper, however, rose 10.8 percent in March from February on expectations of increased seasonal demand through the second quarter, although shipments were still well off a record high hit in January. "We think that in the second half of the year, there's going to be less copper going into China and more copper coming out of China," Brown said. "Chinese bonded warehouse stocks have pushed up close to their recent highs. That means there is going to be a limited amount of copper coming into the country in coming months." Last week China unveiled measures to support economic growth such as cutting taxes for small firms and speeding up rail construction, but investors were uncertain whether more stimulus plans would be forthcoming. The focus is likely to be on China's gross domestic product (GDP) numbers due next week to gauge the health of the world's second-largest economy and biggest consumer of copper. China is forecast to have grown at its slowest rate in five years in the first quarter, a Reuters poll shows, with the slow start to 2014 already prompting government action to steady the economy. Copper prices are down about 10 percent so far this year but have recovered by around 5 percent from 3-1/2-year lows plumbed on March 19.

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