On the 5th of this month, (KIOCL) Kudremukh Iron Ore Company Ltd (KIOCL) – the Indian Iron Pellet exporter based at Mangalore (Karnataka) received price bids of its latest floated Pellet exports tender.
The state owned entity was to take a decision on the same in a couple of days.
It is better to sell our Pellet in Indian domestic market at the moment, is the ultimate decision made by KIOCL.
Overseas buyers bid low for its 50,000 tons (Fe% 63) Iron Pellet tender.
Highest bid fetched stands at around $155/dry MT CFR China (loading from Mangalore Port) i.e. INR 8,200.
Adding to the low bids, the company will have to pay railway charges of around Rs 1,500/MT, that would ultimately account for poor realizations.
Its high quality Pellet will now be offered to Indian Pellet consumers at around Rs 7,500/MT (ex works Mangalore), which is to be delivered through trucks.
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