- Surge in sponge iron, semis tags lifts sentiment
- Active buying, supply constraints support prices
Iron ore prices in Odisha remained firm this week as trading activity improved. Market participants noted that the recent recovery in semi-finished and downstream steel prices lent strong support to iron ore demand, prompting miners to resume offering material after a brief lull.
Price update
BigMint’s Odisha iron ore fines (Fe 62%) index remained stable w-o-w at INR 5,300/tonne (t) ($60/t) ex-mines on 1 November 2025. BigMint recorded deals for around 200,000 t of iron ore this week, concluded directly by steelmakers.
Market highlights
According to a source, “Market sentiment turned positive this week with a noticeable improvement in buying inquiries from sponge iron and steel producers. The firmness in the steel market helped sustain current iron ore price levels.”
Several miners in Odisha resumed their offers, while a few bulk deals were heard in the market during the week. These deals further reinforced market confidence, with participants suggesting that buyers are actively booking material to secure raw material for November.
Meanwhile, the recent round of iron ore auctions conducted in the state also received an encouraging response. “Buyers actively participated in the latest auctions as they expect stable prices and limited material availability in the near term,” said a trader.
However, supply constraints persisted, as production activities were slightly impacted by the recent cyclone in eastern India. “Some disruptions were seen in mining operations due to weather conditions, which have restricted fresh material flow into the market,” a miner commented.
A few miners also indicated plans to conduct fresh iron ore auctions next week for November delivery, depending on market conditions and production recovery.
Overall, sentiment in the Odisha iron ore market remains optimistic, supported by improving steel sector performance and restricted supply.
Factors affecting iron ore prices
Pellet prices firm w-o-w: Pellet (6-20 mm, Fe 62.5%) prices in Odisha’s Barbil rose INR 100/t w-o-w to INR 8,600/t ($96/t) loaded to wagon. Pellet (Fe 62.5%, 6-20 mm) prices in Durgapur increased by INR 250/t w-o-w to INR 9,500/t ($107/t) exw on 31 October.
Sponge iron prices up w-o-w: According to BigMint’s assessment, sponge iron C-DRI (FeM 80%) prices in Rourkela increased by INR 700/t ($9/t) w-o-w to INR 24,700/t ($283/t) on 1 November.
Billet prices rise w-o-w: Meanwhile, steel billet (100*100 mm) prices in Rourkela surged by INR 750/t ($9/t) w-o-w to INR 34,750/t ($395/t) today.
Rationale
- T1- Three (3) deals for Fe 62% fines were recorded in the publishing window and considered for price computation. These were given 50% weightage for index calculation.
- T2 – BigMint received fifteen (15) offers and indicative prices under the T2 category (offers, indicative, and bids) in this publishing window. Twelve (12) were taken into consideration and given 50% weightage. To check BigMint’s iron ore assessment, pricing methodology, and specification document, click here.
Outlook
BigMint’s analysis indicates that Odisha’s iron ore prices may remain firm in the coming week, with most miners likely to keep their offers steady at the current levels.
Leave a Reply