Domestic prices of Iron ore remain firm and supply has
improved in past few weeks. Following is the sector wise highlights of the Iron ore market:
Odisha- Improvement
is seen on the supply front as mines such as Essel, RP Sao, TP Sao have started
taking bookings. Moreover the limitation of supplying ore within the state has
been eased and Iron ore is being transported to
other neighboring states.
Market sources also report that average loading of iron ore
from Odisha has increased to more than 3 million tonne per month.
However, the exports sector doesn't look attractive and the
port traffic has fell significantly at Praradip port due to high export duty on
fines.
Chattisgarh- NMDC
has made provisional change in prices by Rs 400-500/MT and it is
unlikely to roll back the hike in the near term.
Jharkhand –
Supply has improved slightly but it may further improve once the mines which
are closed due to environmental issues are allowed to operate.
Currently, 5-18 for Fe 60 trades at Rs 5800/MT
Goa– Government
has suspended more than 450 iron ore trading licences in the
sector temporarily. Clearance will be given to all those miners
,trading firms and transporters who are found clean after the documents verification.
According to market players, “Iron ore market looks good on
both supply front & prices. Chances are less for correction in
prices even if supply improves as demand looks good.”
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