India’s biggest iron ore producer, NMDC, has announced a price cut of about 10-12% in the price of iron ore for the month of Jan’19, SteelMint has heard from its market sources. Market participants were expecting a price cut looking at aggressive price cuts done by Odisha miners.
Last month NMDC had slashed iron ore price between INR 450-785/MT for Dec’18 via two successive price cuts announced.
NMDC Chhattisgarh’s Iron Prices as on 02 Jan’19
| NMDC Chhattisgarh’s Iron Prices as on 02 Jan’19 | ||||
| Material Type | Current Price (in INR) | Current Price (in USD) | Change ((against last price) in INR/MT) | Change in % |
| DR-CLO | 3,370 | 48 | -465 | -12% |
| Baila Lumps | 2,900 | 41 | -350 | -11% |
| Baila Fines | 2,560 | 37 | -300 | -10% |
| ROM | 2,690 | 38 | -320 | -11% |
Prices on FoR siding basis
Royalty (15%), DMF (4.5%), NMET (0.3%), & other taxes extra
Source: SteelMint
Odisha based major merchant miners have reduced iron ore prices drastically. Fines prices have come down by 34% while lump prices have come down by 25%. Key merchant miners in Odisha are looking at scaling up their iron ore production in order to utilize their remaining Environmental Clearance (EC) approved for the financial year 2019 (Apr 2018 – Mar 2019)
Serajuddin mine has cut its iron ore lump prices by INR 500/MT w.e.f 31st Dec’18. As per sources, the miner has cut prices of 5-18mm (Fe 63%) from INR 4,300/MT to INR 3,800/MT (ex-mines, including Royalty, DMF & NMET).Miner has cut prices for regular buyers.
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