- Decent trades seen amid stable pellet tags
- Market expects prices to rise in near term
Iron ore concentrate prices in Jabalpur remained unchanged w-o-w, amid stable pellet tags and decent trades. However, few offers were also heard at higher levels of INR 5,000/tonne (t) ($58/t) exw-Jabalpur.
BigMint’s weekly iron ore concentrate index was assessed at INR 4,700/t($55/t) exw-Jabalpur, stable against the previous assessment on 12 April.
Market participants expect prices to rise in the coming weeks following (1) the price announcement from the National Mineral Development Corporation (NMDC) and (2) the base price revision from the Odisha Mining Corporation (OMC) for its April auction. As per market sources, OMC has scheduled its iron ore auction on 19 April 2025.
“Deals are being finalised based on the current offers, while NMDC and OMC’s price announcements are still pending,” said a Jabalpur-based producer.
Meanwhile, a major concentrate buyer highlighted, “Sellers are likely to push for higher offers following the NMDC and OMC price announcements. There is a strong possibility that NMDC will raise its iron ore prices.”
Rationale
- Four (4) trades for 34,000 t were recorded in the publishing window, and all were taken into consideration, receiving 50% weightage.
- Eight (8) offers and indicative prices were reported, of which seven (7) were taken into consideration as T2 trades, which received the balance 50% weightage.
Raipur pellet offers remain stable
Pellet prices in the Raipur region stayed mostly unchanged this week, with market activity slowing considerably. Local sellers maintained their previous offers, as deal negotiations lacked strong momentum. The recent drop in sponge iron and billet prices made buyers more hesitant, which further dampened demand for pellets in the spot market.
PELLEX, BigMint’s bi-weekly domestic pellet (Fe 63%) index, remained stable at INR 10,250/t ($120/t) DAP Raipur on 15 April 2025 compared to the previous assessment on 11 April.
Odisha iron ore prices remain firm
Additionally, iron ore prices in Odisha held steady this week, following the release of fresh offers for FY’26 by major merchant miners after receiving their environmental clearances (ECs). The new offers were slightly higher than the previous ones at the closing of the year, driven by continued demand in the market. BigMint’s Odisha iron ore fines (Fe 62%) index remained stable w-o-w at INR 5,200/t ($61/t) ex-mines on 12 April.
Outlook
The market is likely to stay supported, with more active trades expected, as the new fiscal year has kicked off. Further clarity is expected following NMDC’s and OMC’s iron ore price announcements, according to sources. A price rise is likely.
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