Indian Iron Ore Movement Stable in June’19

As per SteelMint’s analysis, iron ore movement across major producing states of the country recorded at 12.74 MnT (excluding exports) in June’19 almost stable M-o-M as against 12.83 in May’19. The figures are compiled on the basis of movements made via railways, trucks, and Karnataka and import data as per customs. The figures exclude the captive iron ore movement of SAIL & Tata Steel and movement for exports.

State-wise iron ore movement analysis:

Odisha iron ore dispatches stable in June’19

Odisha- India’s largest iron ore producing state recorded total iron ore dispatches at 7.74 MnT in June’19, as against 7.65 MnT in May’19. The figures exclude movement for export and dispatches of miners- SAIL & Tata Steel.

Rungta Mines, dispatched iron ore at 1.68 MnT in June’19, 16% rise as against 1.46 MnT in May’19. Serajuddin mine recorded iron ore dispatches at 1.13 MnT in June’19, up 19% against 0.95 MnT in May’19.

Iron ore dispatches from C.G fell 14% in June’19

Iron ore dispatches from Chhattisgarh recorded at 1.89 MnT iron ore in June’19, down 14% as against 2.18 MnT in May’19.

NMDC supplied total of 310 rakes (1.19 MnT) of iron ore in the month of Jun’19, down 23% against 400 rakes (1.54 MnT) a month before in May’19, according to railway movement data maintained with SteelMint. Iron ore production and sales at NMDC Chhattisgarh was halted at Kirandul on 7th June and at Bacheli on 11th June amid agitation from locals against mining in Deposit 13 which is supposed to house their deity. However, later the operations resumed on 13th June’19. It seems drop in rake movement could be because of similar reason.

Karnataka iron ore E-auction sales picked up 7% in June’19

Karnataka has registered an increase of 7% in monthly e-auction sales volume in Jun’19. Total iron ore allotted quantity in Jun’19 were recorded at 2.47 MnT in Jun’19 compared to 2.3 MnT in May’19.

NMDC sold 0.86 MnT iron ore via Karnataka e-auctions in Jun’19, up 15% M-o-M against 0.75 MnT last month.

NMDC Donimalai mine is to resume operations shortly, after closure of the mine for more than eight months. A couple of weeks back Karnataka High Court announced its final judgment in favor of NMDC, thus need not pay premium for mining lease renewal at its Donimalai mines.

Indian iron ore imports fell amid high global prices

Indian imports of iron ore fell 77% to 0.07 MnT in June’19 as against 0.31 MnT a month ago. Imports for the month recorded 2 years low as the levels were last witnessed in June’17 at 0.06 MnT.

The imports fell amid soaring iron ore prices. Monthly average global iron ore fines (Fe 62%) prices in June’19 recorded at USD 109/MT as against May’19 at USD 99/MT, CFR China.
KIOCL stood the only importer for the month and imports were from Brazil.

Indian iron ore exports volumes decline in June’19

Indian iron ore export stood at 1.80 MnT in the month of June’19 as compared to 2 MnT in May’19.

SM Niryat stood the largest exporter for the month at 0.56 MnT, up 69% compared to 0.33 MnT a month ago. Bagadiya Brother exports volumes witnessed at 0.37 MnT, followed by Rungta mines at 0.29 MnT.

Indian pellet exports down 26% in June’19

Indian pellet exports for the month of June’19 recorded at 0.87 MnT, down 26% as against 1.18 MnT a month ago. KIOCL stood the largest exporter for the month at 0.22 MnT, up 20% against 0.18 MnT a month ago. Rashmi Metaliks stood second largest exporter at 0.16 MnT (down 12%), followed by JSPL at 0.16 MnT and BRPL at 0.12 MnT.

India State Wise Iron ore Movement in June’19 & May’19

Qty in MnT, Import and Export Fig includes pellet
Excluding SAIL & Tata Captive procurement
Source: SteelMint Research