India: NMDC’s iron ore rake loadings rise over 10% m-o-m, 20% y-o-y in Aug’25

• Dispatches to Chhattisgarh-based units up 66% m-o-m
• NMDC’s iron ore production increases by 9% m-o-m

NMDC’s iron ore rake dispatches saw an increase in August 2025, despite heavy rainfall and adverse weather conditions in the mining area and along logistical routes. The volume of dispatches rose compared to both the previous month and the same period last year.

The National Mineral Development Corporation (NMDC), India’s largest iron ore miner, dispatched 469 rakes from its Chhattisgarh mines in Aug, equivalent to 1.8 million tonnes (mnt) of iron ore. This was an increment of 11.1% compared to 422 rakes (1.62 mnt) in July, as per BigMint data.

These rake movements were within Chhattisgarh and to other state-based units but excluded supply to AM/NS India through the slurry pipeline. Each rake carries around 3,850 t of iron ore.

Moreover, y-o-y, August 2025 marked a significant 20.8% improvement in dispatch volumes as compared to 388 rakes in August 2024. The miner successfully overcame logistical and production hurdles, resulting in a sharp increase in iron ore dispatch volumes despite the heavy monsoon in central India.

NMDC’s monthly iron ore output was recorded at 3.37 mnt in August, up by 9% from 3.09 mnt in July.

Sourcing by Chhattisgarh-based units spikes by 66% m-o-m

NMDC dispatched 164 (0.63 mnt) iron ore rakes to Chhattisgarh-based units in August, a sharp increase by 65.6% as against 99 (0.38 mnt) in July. Additionally, NMDC’s supplies to its Nagarnar plant surged by 75% in August to 100 rakes compared to 57 in July.

Dispatches to Chhattisgarh-based units were higher, as some sponge producers booked iron ore from NMDC following a higher pricing in central India.

Sourcing by units outside Chhattisgarh remains largely stable m-o-m

Overall, NMDC’s iron ore movements to plants outside Chhattisgarh fell by 5.6% to 305 rakes in August against 323 rakes in July. Rake movements to key consumers such as Rashtriya Ispat Nigam Limited (RINL) and KIOCL declined in August compared to July.

RINL emerged as the top buyer in August, receiving 109 rakes against 122 in the previous month. This drop came due to some bulk cargoes of pellets purchased by the steelmaker.

Dispatches to KIOCL stood at 72 in August compared with 75 in July. Dispatches were moderate, as KIOCL made some robust pellet deals last month.

JSW Steel, Dolvi, received 58 iron ore rakes in August, down around 16% against 69 in July.

AM/NS India sourced 11 rakes in August, down by 52% against July bookings, while Jindal Steel witnessed a m-o-m rise of 43% for its Odisha-based plants, with 46 rakes last month.

Outlook

NMDC’s rake movements are likely to remain strong in September due to anticipated improvements in weather conditions. Additionally, the miner is likely to increase production during this month, which could further boost the movement of iron ore rakes.