According to trade sources report to the SteelMint, Odisha’s based major merchant iron ore miners are heard offering discounts over announced offers to stimulate buying interest. According to sources, after the announced successive price hikes, iron ore demand has witnessed reduction.
SteelMint learned currently trade prices for Fe 63% fines is around INR 3,100-3,200/MT and for 5-18 mm (Fe 63%) around INR 5,800-5,900/MT (ex-mines, including Royalty, DMF & NMET).
Odisha based merchant miners had increased prices by INR 600-700/MT in August and again announced another hike of INR 500/MT in 1st week of September. This made Odisha iron ore prices to hover close to 6 years high. They had raised price due to high export realization in pellets following which domestic pellet prices moved up. Odisha iron ore production continues to be low amid monsoons.
However this week sponge prices have moved down amid limited trades. In Durgapur (eastern India) prices have come down by INR 1,300-1,500/MT W-o-W. This put domestic pellet prices under pressure which have moved down by INR 300-400/MT W-o-W amid limited trades.
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