- Sales rise by only 2% y-o-y amid logistical issues
- Chhattisgarh drives majority of production growth
State-owned miner NMDC’s cumulative iron ore production rose 26% y-o-y to 23.23 million tonnes (mnt) during April-August 2026, from 18.45 mnt in the corresponding period last year, according to the company’s latest exchange filing. In contrast, cumulative sales increased only 2% y-o-y to 18.72 mnt from 18.37 mnt, showing a significant divergence between output and sales during the period.
Chhattisgarh leads cumulative growth
Chhattisgarh contributed 16.42 mnt to cumulative production, up 34% y-o-y from 12.29 mnt. Sales from the state increased 14% to 14.29 mnt from 12.55 mnt.
In Karnataka, cumulative production rose 11% y-o-y to 6.81 mnt from 6.16 mnt. However, sales declined 24% to 4.43 mnt from 5.82 mnt, widening the gap between output and sales in the state. The decline could be attributed to logistical issues at mines, which have hampered dispatches over the past 2-3 months, BigMint learnt from sources.
August output remains steady
NMDC’s monthly production remained broadly stable m-o-m at 4.07 mnt in August, compared with 4.06 mnt in July. However, output was 21% higher y-o-y than 3.37 mnt in August 2025. Production remained steady m-o-m in August amid the seasonal impact of the monsoon.
Monthly sales increased 5% m-o-m to 3.58 mnt from 3.40 mnt in July. Y-o-y, sales rose 6% from 3.39 mnt in August 2025.
FY’27 production guidance
NMDC has set a production target of 60 mnt for FY’27, up from 53 mnt in FY’26. The commencement of mining operations at Deposits 4 and 13 in Bailadila is expected to help achieve this guidance.
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