JSW Steel Iron Ore Imports Fall Significantly Amidst Soften Domestic Prices

JSW Steel - India's largest steel maker recorded Jan19 iron ore imports at 0.19 MnT, down significantly by 79% as against 0.91 MnT in Dec’18. The miner imported 0.19 MnT of ore from Australia (down 74% M-o-M), and recorded nil imports from Brazil.

The miner’s total iron ore sourcing recorded at 1.87 MnT in Jan’19. The sourcing witnessed 19% fall M-o-M as against 2.31 MnT in Dec'18. On yearly basis, sourcing dropped 42% as against 3.22 MnT in Jan’18.

JSW sourcing from Odisha down 13% in Jan19

The steelmaker procured 0.14 MnT iron ore from Odisha based miners in Jan19, down 13% compared to Dec’18 sourcing at 0.16 MnT.

Few major merchant miners are heard to have utilized their EC limits for FY'19 owing to which they do not have much material to offer in the market till March. Recently in this month Odisha merchant miners increased iron ore offers sharply.

Sourcing from NMDC (C.G.) up 14% in Jan19

JSW Steel (Dolvi) sourcing from NMDC recorded at 24 rakes in Jan19, up as against 21 rakes a month before. The increase in sourcing is attributed to price drop by the miner. NMDC C.G had slashed iron ore price between INR 300-465/MT for Jan’19.

JSW iron ore purchases from Karnataka e-auction rise 25% in Jan19

JSW Steel’s iron ore purchases from Karnataka e-auctions increased by 25% to 1.45 MnT in Jan'19 compared to 1.16 MnT in Dec’18.

Out of 1.45 MnT iron ore sourced by JSW, NMDC supplied 0.9 MnT which was more three-times from last and thus contributed around 62% of total JSW sourcing. NMDC slashed iron ore prices from its Karnatka e-auction by INR 320-330/MT for fines and INR 340-350/MT for Lumps in Jan’19.

However, according to sources report, iron ore operations are still on hold at NMDC's Donimalai mine. As per the sources, High Court has adjourned the matter till next date of Feb 25th, 2019.

JSW Steel’s iron ore sourcing from private mines decreased by 36% to 0.55 MnT in Jan’19 as against 0.86 MnT in Dec’18.