Sep 3, Sponge prices in India has shown an increment of Rs Rs 700-800/Mt in past two days on account of unavailability of iron ore. Iron ore prices in raipur is quoting at 17600-700/Mt, where as in durgapur prices have gone to Rs 18500/Mt as compared to rs 17700/Mt last week.
“There is shortage of iron ore as some of the mines have been closed in orissa due to violation of forest laws” said one of the sponge manufacturer based in Durgapur.
“Prices of iron ore are going crazy, We are getting offers ranging from 6400-6800 FOR Raipur for 63 grade iron ore” said one of the manufacturer in Raipur.
Where as prices in Orissa have gone to Rs 15800/Mt compared to Rs 15000/Mt last week. “We have booked iron ore at 3800-4300/Mt few weeks back, but it has not been despatched yet due to strict mining rules and lengthy documentation with local mining authorities” said a sponge manufacturer based in Orissa.
Steelmint concludes that prices have gone up abnormally, this is just a panic in the market due to unavailability of raw material though demand has improved slightly but not enough to absorb such high increments.
Reported by Richa Sharma(richa@steelmint.com)
Leave a Reply