MSTC to hold the next e-acution of iron ore on
20th Jan. The auction is schedule to begin at 3.00 pm and the total no. of
lots to be auctioned is 8.
The maximum quantity to be auctioned is two lots of 40,000
MT each. Both are offered by NMDC, consisting of lumps in one and fines in
other.
Even if e-auction have been carried out on a regular basis,
it has failed to attract much buyers due to its high prices & logistical
problems in carrying the ore from the mines to the plant.
Mr Dinesh Kumar Singh, Managing Director of Karnataka-based
BMM Ispat, said iron ore prices in the e-auction conducted by MSTC (Metal Scrap
Trading Corporation) have skyrocketed in last few months, despite mismatch in
the quality offered and delivered.
“The iron ore prices are generally benchmarked to
international market, but in the e-auction it is nearly double. For instance,
import price of ore with 65.2 per cent iron content are quoted at $135 a tonne
including logistics cost of Rs 2,500-2,600 a tonne, but the same grade sells
for Rs 4,499 a tonne in the auction,” he added.
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