Thursday, December 30,
SteelMint Exclusive
According to sources, Iron Ore lumps prices, which is used by sponge manufacturers to make sponge iron is likely to go up in the month of January 2011 as steel prices have been recovering after a quite long time.
Demand for Iron Ore has improved from last two-three weeks and most of the mines based in Orissa remains booked for next month. If steel prices keep on hovering at these level then market participants expect to see a jump in ore prices very soon.
” Demand has been good, number of queries have gone up and so is the bookings. We might close our booking soon” said one of the mines marketing manager based in Orissa. Supply still remains tight as few major mines are not yet operational on violating forest laws. Other major problem is stricter norms by local mining authorities, which further constrains the supply.
Demand is majorly seen from Sponge iron plants based in Orissa, Bengal and Maharastra. However, bookings from manufacturers based in Chattisgarh are also decent, added one of the mines owner based in Orissa.
Reported by Richa Sharma(richa@steelmint.com)
Leave a Reply