India: Iron Ore Movement in CY’16

As per SteelMint’s analysis, iron ore movement across major producing states of the country was recorded at 123.5 MnT in CY16. The figure has been compiled on the basis of movements made via railways, trucks, Karnataka and Goa e-auction data and import data as per customs. The figure indicated does not include the captive iron ore movement of SAIL & Tata Steel and movement for exports.

State-wise iron ore movement analysis –

Iron ore dispatches from Odisha at 62.3 MnT – Iron ore dispatches in the time period Jan-Dec’16 stood at 62.3 MnT. On monthly premises, Odisha iron ore dispatches fell 7% M-o-M from 6.1 MnT in Nov’16 to 5.7 MnT in Dec’16. Among Odisha’s merchant iron ore miners – Rungta Mines dispatched highest quantity of ore followed by Serajuddin Mines and KJS Ahluwalia. Rungta Mines’ iron ore dispatches fell 14% M-o-M to 1.40 MnT in Dec’16 compared to 1.63 MnT in Nov’16.

Chhattisgarh iron ore movement at 17.8 MnT – Increased iron ore sourcing of JSW Steel, KIOCL, RINL and Essar Steel from NMDC (C.G.) raised iron ore movement from Chhattisgarh. In CY16, iron ore movement from Chhattisgarh was recorded at 17.8 MnT.

Karnataka iron ore e-auction sales at 28.9 MnT – Iron ore sales via Karnataka e-auctions stood at 28.9 MnT in CY16. NMDC sold 12.7 MnT iron ore via e-auctions. JSW Steel remained the largest buyer at 19.4 MnT followed by BMM Ispat.

Iron ore sales via Goa e-auctions at 2.5 MnT in CY16 – CY16 observed four Goa e-auctions through which 2.5 MnT iron ore was sold. The e-auctions noticed active participation from iron ore exporters. Largest bidder was Vedanta at 0.86 MnT followed by Kalinga Allied Industries and Royalline Resources.

Indian iron ore imports down 32% in CY16 – Higher iron ore prices in global market kept imports low. Iron ore imports to India fell 32% Y-o-Y to 6.3 MnT in CY16. JSW Steel was the largest importer at 3.4 MnT followed by Essar Steel at 0.76 MnT and Jindal SAW at 0.34 MnT.

Iron ore & pellet exports from India rose significantly in CY16 – Iron ore & pellet exports from India have rocketed in CY16. In 2016, India exported 18.18 MnT iron ore against 3.31 MnT in 2015.Vedanta was the largest exporter at 6.56 MnT followed by MMTC (which exports on behalf of NMDC) at 2.75 MnT and Fomento Resources at 2.36 MnT.

Pellet exports from India which stood at 0.81 MnT in CY15 increased sharply to 5.73 MnT in CY16. JSPL remained the largest Indian pellet exporter in 2016 at 1.77 MnT followed by BRPL – 1.35 MnT and Essar Steel at 0.99 MnT.