Weak demand in international market and high export duty have limited exports of iron ore from India, resulting in piling up stock at mines head.
Miners are offering good discount to domestic buyers as exports likely to keep low in coming months said local sources.
“They are very limited buyers for iron fines. Miners have no other option but to sell at a discounted price. Big miners offer 63% Fe fines at Rs 2,600/t (loaded to wagons, incld royalty) where as other miners are offering same grade at Rs 2,200-2,250/t (Loaded to wagons, incld royalty). 58% Fe iron fines is offered at Rs 1,400/t (loaded, incld royalty).” said a local trader based in Barbil, Odisha.
Exports have almost halved this fiscal year. Only good thing is many pellet plants are coming up gradually and we can see a good demand for iron fines from domestic plants.
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