India: Iron ore concentrate prices stay firm in recent deals post-OMC auction

• Bids edge up m-o-m in OMC’s iron ore fines auction
• Pellet, iron ore market exhibit supportive sentiments

Iron ore concentrate prices in Jabalpur, India, remained supported this week, with BigMint’s bi-weekly index assessed at INR 4,700/tonne (t) ($55/t) exw-Jabalpur, an increase of INR 50/t ($1/t) from the previous assessment on 22 March 2025.

Prices remained firm due to supportive sentiments in the pellet and Odisha iron ore markets following the latest iron ore auction by the Odisha Mining Corporation (OMC) in which bids rose m-o-m.

However, a seller told BigMint, “Prices remain relatively stable, as the anticipated market boost from OMC’s auction did not materialise.”

“The expiry of ECs for mines is also providing support to concentrate prices,” said a Jabalpur-based seller.

Rationale

• Two (2) trades of 15,000 t were recorded in the publishing window. These were accorded 50% weightage.
• Seven (7) offers and indicative prices were reported, out of which six (6) were taken into consideration as T2 trades, receiving the balance 50% weightage.

Factors supporting iron ore concentrate prices:

• Bids edge up m-o-m in OMC’s iron ore fines auction: In OMC’s auction for 1.324 million tonnes (mnt) of iron ore fines (Fe 55-65%) on 20 March, 1.286 mnt (97%) was booked at INR 3,700-5,500/t ($43-64/t) ex-mines. Weighted average bids rose by INR 200/t ($2/t) against last month. The miner, on 18 March, had increased the base prices by around INR 200-300/t ($2-4/t) m-o-m for fines. Tight availability of iron ore amid expired EC limits led to the active response from buyers.
• PELLEX remains stable as trade momentum picks up: Pellet prices in Raipur remained stable this week as trading activity continued at a moderate pace. Sellers maintained their offers, while buyers opted for need-based purchases from both local sellers as well as those in the neighbouring regions. The market sentiment was neutral, with support coming from the increase in sponge iron and billet prices, which encouraged trade in pellets. BigMint’s bi-weekly domestic pellet (Fe 63%) index remained stable at INR 10,100/t ($118/t) DAP Raipur on 25 March compared to the previous assessment on 21 March.
• Odisha iron ore fines index remains stable w-o-w: BigMint’s Odisha iron ore fines (Fe 62%) index remained stable w-o-w at INR 5,100/t ($60/t) ex-mines on 22 March. The iron ore market in Odisha remained steady, as auction results from OMC provided price support, while availability from other merchant miners remained scarce. The market has seen restricted supply after the EC limits of several miners expired for the current fiscal. As a result, buyers turned to OMC auctions to secure material.

Outlook

Market participants are closely watching the steel, iron ore, and pellet markets for signs of price stabilisation or an uptick to boost overall sentiment. As the fiscal year draws to an end, volatility is expected to persist, with limited transactions happening.