- Odisha Fe 62% fines prices rise INR 100/t w-o-w amid higher OMC base prices
- Market remains cautious ahead of OMC auction amid buyer resistance
BigMint’s Odisha Fe 62% iron ore fines assessment increased by INR 100/t ($1/t) w-o-w at around INR 5,200/tonne (t) ($54/t) ex-mines in the week ending 19 September 2026.
Market sentiment remained mixed across grades, with high-grade ore holding relatively stable while low-grade fines faced weaker demand and cautious buying. An Odisha-based trader said, “Odisha ore sentiment remains stable for high grades but weakens for low grades.”
Market participants remained cautious ahead of Odisha Mining Corporation’s (OMC) auction on 19 September, seeking greater price clarity before committing to fresh purchases. OMC is set to auction around 1.817 million tonnes (mnt) of iron ore, including 1.21 mnt of fines and 0.61 mnt of lumps. The miner has continued to keep the offered quantity limited this month amid heavy monsoon conditions, which have hampered mining operations.
The miner’s revised base prices have added to market uncertainty, with lump prices rising by INR 750-1,200/t across grades and fines base prices increasing by INR 650-750/t. The steep hike has met with buyer resistance, with some auctions remaining unsold as market participants await OMC’s upcoming auction for clearer price direction.
Some recent auctions also remained unsold, reflecting resistance to higher prices and a wait-and-watch approach among buyers. Market participants are closely watching the upcoming OMC auction outcomes and subsequent spot trades for clearer price direction, particularly for fines.
Meanwhile, continued monsoon-related disruptions leading to limited ore availability are providing underlying support to prices, particularly for lumps. However, elevated base prices and subdued interest in lower-grade fines are keeping the market cautious.
Rationale:
- T1: Three (3) deals for Fe 62% fines were recorded during the publishing window, out of which two (2) were considered for the assessment and assigned 50% weightage in the index calculation.
- T2: BigMint received seventeen (17) offers and indicative prices under the T2 category (offers, indicative, and bids) in this publishing window. Sixteen (16) were taken into consideration and given 50% weightage. To check BigMint’s iron ore assessment, pricing methodology, and specification document,click here.
Market highlights:
- Pellet prices diverge as eastern market sentiment remains mixed: Odisha’s Barbil Fe 62.5% (6-20 mm) pellet prices remained unchanged at INR 9,500/t ($99/t) LTW on 18 September 2026, supported by steady buying interest and limited fresh availability. Meanwhile, Durgapur pellet prices rose by INR 200/t ($2/t) w-o-w to INR 10,500/t ($109/t) ex-works, amid firmer regional demand and higher input costs.
- Sponge C-DRI prices rise w-o-w on firmer sentiment: Rourkela C-DRI prices increased by INR 300/t ($3/t) w-o-w to INR 30,600/t ($319/t) on 19 September, from INR 30,300/t ($316/t) in the previous week. The market remained firm amid improved buying interest and limited availability, while higher iron ore costs continued to provide support to sponge iron prices.
- Rourkela rebar prices surge on firmer market sentiment: Rourkela IF-route rebar (12-25 mm) prices rose sharply by INR 1,700/t ($18/t) w-o-w to INR 54,000/t ($563/t) on 19 September 2026, from INR 52,300/t ($545/t) on 12 September. The sharp increase reflects firmer buying interest and higher input costs, with limited availability also lending support to market sentiment.
Outlook
Odisha’s iron ore market is likely to remain cautious in the near term, with the 19 September OMC auction emerging as the key price-discovery event. Higher base prices and buyer resistance could limit upside, particularly for low-grade fines, while tight availability amid monsoon disruptions may continue to support high-grade ore and lumps.
Strong bids could reinforce the recent price hikes, while weak participation or unsold quantities may signal resistance to elevated levels and put pressure on spot prices. Market participants are therefore likely to remain selective until clearer price signals emerge from the auction and subsequent trades.
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