NMDC, India's largest producer and exporter of iron ore surprises market with hike of its prices up to Rs 600/t for second quarter.
This is for the second consecutive quarter NMDC has raised prices of raw material in this fiscal. During the last quarter, it had raised iron ore prices by 8-10 per cent on increased demand and lower availability.
Following the hike, price of lumps with 65 per cent iron content has gone up to Rs 6,100 a tonne and up to Rs 3,000 a tonne for fines containing lesser iron. Indian steel mills mostly use lumps.
NMDC is the country's largest iron ore producer. It has over 40 per cent share of the domestic market. JSW Steel and Essar Steel are NMDC's leading customers in the country.
NMDC had lowered iron ore price by up to Rs 160 per tonne for lumps and Rs 600 for fines in the last quarter of 2011-12 fiscal, after hiking the price in the previous quarter.
Steel majors had recently accused NMDC of charging higher prices for the domestic firms, while exporting at lower rates.
The company, however, said, “Who says NMDC is charging higher price here than the international price? If the price is higher here, they can buy from outside”.
Current Offers for 65% Fe are
6-20mm= Rs 6,190
10-150mm= 5,190
Fines= 3,030
-Prices Ex-MInes Jagdalpur (Chattisgarh)
-Royalty and Taxes Extra
Leave a Reply