Iron Pellet manufacturers across India preferred to keep their offers unchanged on higher prices of iron ore lumps offered by NMDC and other private miners based in Odisha.
Eastern India: Current offers vary in the range of Rs 7,400-7,600/t (Excise duty and Taxes extra) for Fe% 64/63.
Despite ample availability of iron ore fines at a cheaper price, manufacturers are unwilling to cut offers.
Many experts believe that these prices will not sustain for a long time on the fact that Stemcor's BRPL Pellet plant is expected to commence production in the month of April – May 2013 and is anticipated to offer quality Pellets at a competitive price.
Southern India: On the other hand, India's largest Pellet producing state is dwindling with iron ore supply since supreme court ordered sale of iron ore through e-auction.
Pellet manufacturers blame that due to inferior quality and high prices of iron ore, margins have squeezed significantly and not many people are interested in either expanding capacities or setting up new plants. Current offers stand at Rs 7,400/t (Excise and taxes extra) for Fe% 62.
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