1. Other state based units increased iron ore sourcing by 24% M-o-M
2. 36% reduction in procurement by Chhattisgarh based units.
3. Export movement down 53% M-o-M.
India’s largest iron ore miner – NMDC in total supplied 276 rakes from its Bailadila mines in Chhattisgarh last month against 264 rakes in Aug’17. NMDC’s iron ore supply from Bailadila mines has increased by 5% M-o-M in Sep’17. In the month of Sep’17, the miner had increased iron ore prices by 9%.
Outside C.G. based units raised iron ore sourcing by 24% – Iron ore procurement of outside C.G. based units increased 24% M-o-M to 233 rakes in Sep’17 against 188 rakes in Aug’17. RINL (Vizag Steel) decreased sourcing by 17% and sourced 96 iron ore rakes in Sep’17 against 116 rakes in Augl’17.
JSW Steel procured 10 times more rakes with 70 rakes from NMDC in Sep’17 compared to 7 rakes in Aug’17.
KIOCL increased iron ore sourcing by 2% M-o-M from 46 rakes in Aug’17 to 47 rakes in Sep’17.
C.G. based sponge units iron ore sourcing down by 36% in Sep’17 – C.G. based sponge iron units sourced 27 rakes from NMDC (C.G.) in Sep’17 compared to 42 rakes in Aug’17. It is to be noted that C.G. based units procure 60 to 70 rakes on an average in a month from NMDC. Sponge prices were down around INR 200-900/MT in Sep’17 due to weak demand because of festivity.
Movement for exports decreased in Sep’17 – NMDC loaded 16 rakes for export in Sep’17 compared to 34 rakes in Aug’17 down 53%.
| NMDC (C.G.) Iron ore rake movement : September Vs August’17 | |||
| Seller | Buyer | Sept-17 | Aug-17 |
| NMDC(CG) to Chhattisgarh based Plant | SKS Ispat | 9 | 4 |
| Vandana Global Ltd | 2 | 3 | |
| API Ispat & Power | 2 | 6 | |
| Phil Ispat | 1 | – | |
| Shree Sita Ispat & Power Pvt. Ltd. | 1 | – | |
| Drolia Electrosteel Ltd | 1 | – | |
| Agrawal Sponge Ltd. | 1 | 1 | |
| Ghankun Steel Pvt. Ltd. | 1 | 1 | |
| Rashmi Sponge Iron & Power Ltd | 1 | – | |
| Gopani Iron & Power Ltd. | 1 | 1 | |
| Shri Nakoda Ispat Ltd | 1 | 2 | |
| Hi Tech Power Steel | 1 | 1 | |
| Sunil Sponge | 1 | 1 | |
| Navbharat Fuses Co. Ltd. | 1 | 1 | |
| Vaswani Industries | 1 | – | |
| Niros Ispat | 1 | 2 | |
| Nutan Ispat & Power Ltd. | 1 | 2 | |
| Shilpy Steels Pvt Ltd | – | 1 | |
| Grace Industries | – | 2 | |
| Sri Hare Krishna Sponge Iron Ltd | – | 1 | |
| Gopal Sponge | – | 2 | |
| Real Ispat & Power Ltd | – | 2 | |
| Mahendra Sponge & Power Ltd | – | 2 | |
| Shivalay Ispat & Power Pvt Ltd | – | 3 | |
| Monnet Ispat & Energy Ltd | – | 4 | |
| Total | 27 | 42 | |
| NMDC(C.G.) to Other State | Rastriya Ispat Nigam Ltd | 96 | 116 |
| JSW Steel, Dolvi | 70 | 7 | |
| Kudremukh Iron Ore Company Ltd | 47 | 46 | |
| Gallant Metal Ltd. | 4 | 5 | |
| Steel Exchange India Ltd | 3 | 3 | |
| Welspun Max Steel Ltd | 3 | 3 | |
| Noble Tech Industries Ltd. | 2 | 1 | |
| NMDC | 2 | – | |
| Sunflag Iron & Steel Company Ltd | 2 | 1 | |
| Essar Steel | 2 | – | |
| Maha Maya | 2 | 4 | |
| Gopani Iron & Power Ltd. | – | 2 | |
| Total | 233 | 188 | |
| Export | 16 | 34 | |
| Grand Total | 276 | 264 | |
Each rake carries approximately 3,850 MT iron ore
Essar Steel’s movement through slurry pipeline excluded
Source: SteelMint Research, Railways
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