JSW Steel, India’s leading steelmaker, procures iron ore majorly from Odisha, Karnataka, Chhattisgarh, Jharkhand, Goa and via imports. The company procured 1.78 MnT iron ore from domestic market in Oct’15, however imports remained nill. Also, it produced 1.02 MnT crude steel in Oct’15.
Currently, the company is sourcing iron ore purely from Chhattisgarh and Karnataka states.
Iron ore procurement from NMDC Chhattisgarh mines, significantly increased by 90% M-o-M. JSW Steel loaded 80 rakes i.e. 308,000 MT iron ore in Oct’15 against 42 rakes i.e. 161,700 MT in Sept’’15.
Iron ore purchases from Karnataka also increased 34% M-o-M in Oct’15. This was due to iron ore offered in the Karnakata e-auctions (by NMDC and private miners) was at much lesser base prices as compared to other states. Also, purchases from Goa-e-auction remained nill starting FY16.
However, imports for JSW Steel still remained to be un-viable. Falling global prices and cheaper availability of iron ore in domestic market, had shifted the interest of the steel maker towards domestic ore. Meanwhile, purchases from Odisha, Jharkhand also continued to remain null.
| Particulars | Sept’15 | Oct’15 |
| Chhattisgarh | 0.16 | 0.30 |
| Karnataka | 1.10 | 1.48 |
| Goa | Nil | Nil |
| Odisha & Jharkhand | Nil | Nil |
| Imports | Nil | Nil |
| Total | 1.26 | 1.78 |
Qty in MnT
Provisional data
Source: SteelMint Research, Customs, DMG, Railways
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