South African imported lump offers which were at USD 63-64/MT, CFR Kandla a week ago have fallen to USD 58-59/MT, CFR Kandla further this week. Buyers resist purchases as they anticipate further correction.
Sharp fall in global iron prices have weakened imported lump offers to India further. South African imported lump (Fe 64%) offers to India have dropped by USD 5/MT W-o-W and USD 12/MT M-o-M.
Current offers of imported lump from South Africa are around USD 58-59/MT, CFR Kandla.
Trade sources shared that consistent decline in global iron ore prices has built a selling pressure for imported lump. Traders are finding it difficult to get buyers at their standing offers, as buyers are holding back purchases in anticipation of further fall in imported lump offers over declining global iron ore prices.
Indian Iron Ore Import: Vessel Updates
A western India based market participant shared that there are around three iron ore import vessels in pipeline to arrive at Kandla Port by the end of Dec’15.
- Bagadiya Brother’s vessel named “Alam Sayang” carrying 59,900 MT South African lump is expected to reach Kandla Port on 1st week of Nov’15. Market sources shared that they are receiving buying interest at USD 57-58/MT, CFR Kandla for ready stock
- Another vessel of around 90,000 MT iron ore lump which was booked by Gallant Metal, Varssana Ispat, Welspun and Monosteel at around USD 64-65/MT, CFR Kandla is expected to reach Kandla Port by end of Nov’15
- Another iron ore import vessel is expected to reach Kandla Port by end of Dec’15
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