Falling steel prices and high power charges in several states have weighed on iron ore demand, reported traders based in Odisha.
“There are not many buyers for iron ore at the moment as sponge units are not evening running at 60% capacity in Eastern and Central India. High power cost and power cuts in various states have reduced demand for sponge iron.
Sponge units are running at hand to mouth condition as no one wants to stock on uncertainties.Generally iron ore prices go up during monsoons as production goes down but this time prices have gone down.” said an iron ore trader based in Barbil Odisha.
Current offers for 63% Fe crushed iron lumps stay at Rs 6,000-6,500/t (Ex-Mines, incld royalty) and iron pellets are being offered in the range of Rs 7,500-7,700/t (Loaded to wanogs, Barbil, Odisha) for 63% Fe, he further added.
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