According to government of Odisha’s data, Iron ore dispatches from Odisha rose by 13% in Aug’15 as compared to July’15. Total 3.3 MnT iron ore was dispatched in Aug’15 against 2.9 MnT in July’15. The analysis has been done on the basis of data complied from truck movement and does not include movement from captive mines of SAIL and Tata Steel.
Major iron ore buyers from Odisha market were JSPL, Bhushan Steel, Bhushan Power and Essar Steel which contributed around 38% to total procurement done in Aug’15.
JSPL, having annual pellet production capacity of 9 MnT increased its procurement of iron ore in August against July. In Aug’15, the company supplied total 138,600 MT pellets via 36 rakes. Major pellet buyer was Tata Steel (procured 61,600 MT pellets from JSPL) due to closure of Noamundi mines. In line with JSPL, Bhushan Power & Steel incremented its procurement from Odisha by 60% last month.
Essar Steel, one of the largest pellet exporters, procured 222,982 MT iron ore from Odisha in Aug’15. This time, the company doubled its procurement as compared to July. Since, export of pellets to Iran and China are more viable for Essar Steel than any other these days on account of less transportation cost incurred, company’s iron ore procurement may increase in the coming term.
Link for iron ore dispatches from Odisha in Aug’15
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