Indian iron ore industry is certainly not going through a good phase. Low demand in domestic market and competitive offers from Brazil and South Africa has kept prices under pressure.
Steel manufacturers on west coast claim to have offers from Brazil and South Africa for Fe 64 % at around $114-116/t CFR, India west coast, where as domestic mines prices hover in the range of Rs 6,500-7,000/t (ex- mines in Odisha, incld royalty).Iron ore imports in India attracts a duty of 2.5% said market participants.
Steelmakers who lack their own captive iron-ore mines are increasingly relying on imports. “Iron-ore prices globally are quite conducive for imports, and we have already started importing shipments,” Essar Steel Chief Executive Dilip Oomen.
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