- Weighted average bids remain stable m-o-m
- 82% of offered quantity booked in auction
Odisha Mining Corporation (OMC) auctioned around 0.883 mnt of iron ore lumps (Fe 60-65%) on 20 July 2026, with bids received for 0.727 mnt, representing nearly 82% of the offered quantity. Winning bids ranged between INR 4,450-6,900/t, with an average premium of around INR 350/t over the notified base prices. The premium over base prices was recorded up to INR 1,200/t for few lots. However, on a weighted average basis, bids remained stable m-o-m compared to June. Notably, ahead of the July auction, OMC kept base prices stable m-o-m for the lumps auction.
Auction highlights
Weighted average bids for Fe 62%, 5-18 mm lumps rose by INR 50/t m-o-m to INR 5,300/t in July, while Fe 62%, 10-40 mm bids were stable against last month.
Offtake was lower than May due to the onset of the monsoon and high inventories with buyers. Typically, steelmakers avoid using lumps during the rainy season to improve operational efficiency, as lump ore absorbs moisture.
Market sentiments
Odisha lumps prices drop: Reflecting softer domestic steel demand, BigMint’s Odisha iron ore lumps (Fe 63%, 5-18 mm) index averaged around INR 6,750/t ex-mines in July, down INR 200/t ($2/t) m-o-m
Sponge CDRI drop m-o-m: Domestic sponge iron (CDRI) prices in Rourkela decreased by INR 750/t m-o-m to INR 24,500/t exw, amid pressure from the downstream steel market.
*Note: The June month base prices have been corrected.
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