Government-owned NMDC recorded iron ore rake movements from Chhattisgarh at 358 in November 2022, falling by 11% against 403 in October, according to data maintained with SteelMint.
This figure includes movements within Chhattisgarh and to other state-based units but excludes supply to AM/NS India through slurry pipeline. Notably, a rake carries 3,850 tonnes (t) of iron ore.
RINL largest buyer: RINL emerged as the largest buyer, with 158 iron ore rakes received in November, down 2% as against 161 in October.
JSW Steel recorded a 51% decrease in receipt of iron ore rakes from NMDC Chhattisgarh at 73 in November as against 148 in October.
Southern India-based pellet-maker KIOCL’s iron ore sourcing stood at 25 rakes in November compared with eight in October. The company has notified that its pellet plant operations in Mangalore resumed from 24 November amid exports becoming feasible and a supportive international market as a result of the removal of export duty on pellets by India’s government.
NMDC’s total iron ore rake movements to plants based outside Chhattisgarh were recorded at 296 last month compared to 352 in October.
Sourcing by Chhattisgarh-based units increases: NMDC’s iron ore rake movements to Chhattisgarh-based units were recorded at 62 in November compared to 51 in the previous month. The company had slashed prices of lump ore by INR 300-360/t and fines by INR 300/t from its Chhattisgarh mines, effective 17 November. Sponge iron prices fell to one-year low which in turn limited iron ore bookings.
Zero exports: NMDC’s long-term iron ore export contracts with Japanese steel mills (JSMs) and South Korea’s POSCO were scrapped as the key sop of 10% reduction in export duty was removed.
NMDC’s (Chhattisgarh) iron ore rake movement: Sep’22 vs Oct’22
Figs. exclude ArcelorMittal Nippon Steel India Limited’s movement through slurry pipeline.
Each rake carries approximately 3,850 t of iron ore
Source: SteelMint Research, Railways
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