The miner has reduced iron ore lump and fines price from its Chhattisgarh mines by INR 500/MT (USD 7).
NMDC Ltd- India’s biggest iron ore producer has sharply reduced iron ore prices today, as per credible market sources report to SteelMint. Prices of Baila fines and lump have been reduced by INR 500/MT and DR CLO by INR 580/MT. Revised prices have come into effect from today (04 Apr’20).
Prices of Baila lump ore is at INR 2,650 per wet metric tonne (wmt), Baila iron ore fines are at INR 2,360 and that of DR CLO is INR 3.080 per wet metric tonne. FoR prices mentioned are excluding Royalty, DMF, NMET and other taxes.
Prior to this the miner made a marginal cut in prices by INR 50-60/MT in March.
NMDC supplied a total of 378 rakes (1.46 MnT) of iron ore in the month of Mar’20, down 5% against 399 rakes (1.54 MnT) a month before in Feb’20, according to railway movement data maintained with SteelMint. State-based steel plants decreased iron ore sourcing from NMDC (C.G.) to 11 rakes (equivalent to 42,350 MT) in Mar’20 against 17 rakes (65,450 MT) in Feb’20 (This does not include movement through road).
Notably amid lockdown, trades in the domestic steel market have nearly come to a halt. Also Odisha based merchant miners had sharply cut iron ore lump prices in March. For instance, Serajuddin mines had cut lump prices twice in the month of March with the individual quantum of price cut being INR 500/MT. There was some sort of slow-down to place a new order, as the buyers are reluctant to place any fresh orders for the delivery of material by 31st Mar 2020.
Indian major steel mills namely JSW Steel, Tata Steel, SAIL and AM/NS have announced production cuts due to pandemic.
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