Gujarat and southern India based steel mills have turned active and raised inquiries for an imported South African lump.
Falling iron ore prices in China has resulted in a decline in offers of imported South African lump to India. This has resulted in increased number of inquiries from western and southern India based steel mills.
One of Assmang lump trader shared with SteelMint “ we have three shipments (of around 90,000-100,000 MT) of Assmang lump which will arrive in April. All the shipments have been heard to be booked by Gujarat and Southern India based steel mills”.
Spot iron ore prices in China have fallen sharply by 11% W-o-W to USD 68/MT, CFR China. Following this offers for imported South African lump have also witnessed reduction. Price assessment for South African lump is around USD 85-88/MT, CFR India.
As the Chinese construction activity is not picked up against the earlier expectation after Lunar year holidays and inventory level of iron ore is high on port resulting less buying interest shown by the traders in China. Iron ore prices in pressure from the past one week, making imports cheaper that are encouraging to books vessels for iron ore lumps from South Africa.
Indian iron ore imports expected to be around 1 MnT in Mar’18 – SteelMint Stats
According to customs data maintained with SteelMint, so far in March’18 India has imported 0.29 MnT iron ore. Vessels carrying about 0.79 MnT ore are at anchorage or expected position.
| Shipper | Port | Vessel Name | Quantity | Country | Status | Date |
| JSW Steel | Jaigarh | Hille Oldendroff | 1,75,000 | Australia | Expected | 20-Mar-18 |
| JSW Steel | Krishnapatnam | Hannes Oldendroff | 1,89,200 | Australia | Berth | 9-Mar-18 |
| JSW Steel | Krishnapatnam | Leopold Oldendroff | 1,89,300 | Australia | Anchorage | 7-Mar-18 |
| JSW Steel | Krishnapatnam | Hannes Oldendroff | 1,91,500 | Australia | Anchorage | 8-Mar-18 |
| Kamachi | Krishnapatnam | Pacific Award | 59,600 | South Africa | Anchorage | 8-Mar-18 |
| N/A | Kandla | Cielo D Italia | 99,000 | South Africa | Berth | 7-Mar-18 |
| Welspun Steel | Kandla | IAN M | 1,75,000 | South Africa | Expected | 25-Mar-18 |
Quantity MT Provisional data updated till 12th Mar’18
Source-: SteelMint stats.
In the first two months of CY’18 iron ore imports to India was recorded at 3.02 MnT and increased by more than threefold compared to 0.95 MnT in the same time period last year.
In the month of Jan’18 imports hit a record high in last three years to 1.95 MnT. This volume was last seen in Feb’15.
Jindal SAW reduced domestic pellet offers-: Rajasthan based pellet maker – Jindal SAW has reduced pellet prices. Latest assessment stands at INR 6,900/MT (delivered Kandla) compared to previous week’s assessment of INR 7,200/MT (delivered Kandla).
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