India Steel Market Watch
October 8: State-run miner NMDC has slashed prices of iron ore fines by 12% to Rs 1,460 per ton for the current month as compared to Rs 1,660 a ton in the last month as it faces subdued ore demand.
Price of the higher grade iron ore (lumps) have been reduced by Rs 300-350 per ton to Rs 2,500 per ton for October 2015.
Considering the global iron ore supply-demand scenario, analysts are of the view that a further downward revision in prices by NMDC is possible in the near term.
NMDC saw its sales go down 17% to 11.27 million tons (mt) for April-August this fiscal from 13.57 mt.
Odisha miners like Rungta, Essel, Serajjudin, Indrani and KJS kept offers unchanged as offtake was low, sources said.
Goa, India's top iron ore exporting state, resumed production in August. The state has an annual limit of 20 million tons in the current fiscal.
However, sources said e-auctions in Goa recorded lukewarm response with sales levels around 20-30% of the offered quantity.
Following are prevailing domestic iron ore prices:
|
|
|
Price (ex-mines) |
Price (ex-mines) |
W-O-W |
Company |
Size |
Grade |
08-Oct-15 |
01-Oct-15 |
|
NMDC |
6-20mm |
65 |
2500 |
2850 |
-350 |
|
10-150mm |
64 |
2210 |
2510 |
-300 |
|
Fines |
64 |
1460 |
1660 |
-200 |
Rungta |
5-18mm |
65 |
NA |
NA |
NA |
|
5-18mm |
63 |
3200 |
3300 |
-100 |
|
10-30mm |
65 |
NA |
NA |
NA |
|
10-30mm |
63 |
3100 |
3100 |
0 |
|
Blue Dust |
63 |
1700 |
1700 |
0 |
Essel |
5-18mm |
63 |
NA |
NA |
NA |
|
10-30mm |
63 |
2900 |
2900 |
0 |
|
Blue Dust |
63 |
1500 |
1500 |
0 |
Serajuddin |
5-18mm |
63 |
2800 |
2800 |
0 |
|
Blue Dust |
63 |
1500 |
1500 |
0 |
Indrani |
5-18mm |
63 |
2700 |
2700 |
0 |
|
Blue Dust |
63 |
1400 |
1400 |
0 |
KJS Ahluwalia |
5-18 mm |
63 |
2600 |
2600 |
0 |
|
Blue Dust |
63 |
1500 |
1500 |
0 |
Source: Traders
Pellet rates fall marginally on low demand levels
India Steel Market Watch
October 8: Pellet offers fell by Rs 100-300 per ton on limited bookings and falling demand from sponge iron makers, sources informed ISMW.
Current offers for Fe 62%-63% ranged from Rs 4,100-4,600 ex-works in the markets of Barbil, Tatanagar and Bellary.
Imported pellet offers from China (5-18 mm) of 63-64 grade Fe, however, decreased by $2 per ton to $75 per ton while export offers from India decreased by $2 per ton to $64 per ton.
Better availability has led to shifting of some buyers to pellets but lumps inventory levels are also high, making buyers cautious on heavy buying.
Following are pellet prices in different markets:
Size (mm) |
Grade % Fe |
Oct 8, 2015: Price (Rs per ton) |
Oct 7, 2015: Price (Rs per ton) |
Oct 6, 2015: Price (Rs per ton) |
|
Bellary |
5mm-18mm |
62 |
4600 |
4600 |
4600 |
Tatanagar |
5mm-18mm |
63 |
4500 |
4500 |
4500 |
Barbil |
5mm-18mm |
63 |
4100 |
4200 |
4300 |
China imported pellets |
5mm-18mm |
63-64 |
$75 |
$75 |
$76 |
India export |
6-20mm |
|
$62 |
$62 |
$63 |
Product |
|
Iron Ore Pellet |
Grade |
|
5-20mm, Fe 63-64 |
Location |
|
FOR, Barbil |
Basis |
|
Basic |
Month/Unit |
Week |
Rs/ton |
Jul-15 |
1 |
4400 |
|
2 |
4300 |
|
3 |
4200 |
|
4 |
4200 |
|
5 |
4200 |
Aug-15 |
1 |
4100 |
|
2 |
4400 |
|
3 |
4400 |
|
4 |
4700 |
Sep-15 |
1 |
4700 |
|
2 |
4800 |
|
3 |
4700 |
|
4 |
4600 |
Oct-15 |
1 |
4100 |
Source: Traders