1. Iron ore sourcing of C.G. based sponge units doubled from 34 rakes in Feb’17 to 67 rakes in Mar’17
2. Movement for exports jump 64% M-o-M in Mar’17
3. JSW Steel, KIOCL and RINL reduced iron ore sourcing from NMDC last month
NMDC supplied 358 rakes of iron ore from its Bailadila mines in Chhattisgarh last month against 347 rakes in Feb’17. Thus NMDC’s iron ore supply from Bailadila mines has gone up by 3% M-o-M in Mar’17. In the month of Mar’17, NMDC hiked iron ore prices up to INR 100/MT M-o-M.
C.G. based sponge units iron ore procurement doubled in Mar’17 – C.G. based sponge iron units sourced 67 rakes from NMDC (C.G.) in Mar’17 compared to 34 rakes in Feb’17. Sponge prices increased sharply in Mar’17 amid higher raw material cost and strong demand. Monthly average C-DRI prices in Raipur gained about INR 2,000/MT M-o-M in Mar’17.
Movement for exports jump 64% M-o-M – NMDC’s iron ore movement for exports increased sharply in Mar’17. The miner loaded 74 rakes for export in Mar’17 compared to 45 rakes in Feb’17.
Outside C.G. based units reduce iron ore sourcing further in Mar’17 – Iron ore procurement of outside C.G. based units fell 19% M-o-M to 217 rakes in Mar’17. RINL (Vizag Steel) sourced 126 iron ore rakes in Mar’17 against 131 rakes in Feb’17. JSW Steel’s iron ore procurement from NMDC reduced fell 56% M-o-M to 21 rakes in Mar’17.
Southern India based pellet maker – KIOCL sourced 38 rakes from NMDC (C.G.) last month compared to 53 rakes in Feb’17, down 28% M-o-M.
NMDC rake movement: Mar’17 vs Feb’17
| Seller | Buyer | Feb’17 | Mar’ 17 |
| NMDC(CG) to Chhattisgarh based Plant | Grace Industries | 1 | 11 |
| SKS Ispat | 6 | 9 | |
| API Ispat & Power | 1 | 8 | |
| Shivalay Ispat & Power Pvt Ltd | 3 | 5 | |
| Devi Iron & Power Ltd | – | 4 | |
| Gopani Iron & Power Ltd. | – | 4 | |
| Bhagwati Power Steel | 2 | 3 | |
| Shri Nakoda Ispat Ltd | 2 | 3 | |
| Sunil Sponge | – | 3 | |
| Drolia Electrosteel Ltd | 2 | 3 | |
| Gopal Sponge | 2 | 2 | |
| Real Ispat & Power Ltd | 2 | 2 | |
| Rashmi Sponge Iron & Power Ltd | 3 | 2 | |
| Vandana Global Ltd | 1 | 2 | |
| Nutan Ispat & Power Ltd. | 2 | 2 | |
| Raipur Power & Steel | – | 1 | |
| Ghankun Steel Pvt. Ltd. | 2 | 1 | |
| Shilpy Steels Pvt Ltd | 1 | 1 | |
| Hi Tech Power Steel | 1 | 1 | |
| Aarti Sponge & Power Ltd | 2 | – | |
| Gagan Resources Pvt Ltd | 1 | – | |
| Total | 34 | 67 | |
| NMDC(C.G.) to Other State | Rastriya Ispat Nigam Ltd | 131 | 126 |
| Kudremukh Iron Ore Company Ltd | 53 | 38 | |
| JSW Steel, Dolvi | 48 | 21 | |
| Public | 24 | 15 | |
| Maha Maya | 4 | 5 | |
| Steel Exchange India Ltd | 2 | 4 | |
| Sunflag Iron & Steel Company Ltd | 5 | 4 | |
| NMDC | 1 | 3 | |
| Jai Balaji Industries Ltd | 1 | ||
| Total | 268 | 217 | |
| Export | 45 | 74 | |
| Grand Total | 347 | 358 | |
Each rake carries approximately 3,850 MT iron ore
Excluding Essar Steel’s movement through slurry pipeline
Source: SteelMint Research, Railways
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