India : NMDC Cuts Iron Ore Price for April

NMDC Ltd, India's biggest iron ore producer, has cut iron ore lump and fines price from its CG mines by up to INR 150/MT (5%), SteelMint learned from market sources.

The public sector miner slashed prices of lump ore to INR 2,850 per wet metric tonne (wmt) from INR 3,000 /wmt and iron ore fines to INR 2,610 per wet metric tonne from INR 2,760/wmt according to sources.

Prior to this, the miner had announced a price hike towards end of Feb'19.

According to railway movement data maintained with SteelMint, state based units procured 48 rakes from NMDC in Mar'19, down 30% against 69 rakes a month before.

Major merchant miners in Odisha are learned to have raised iron ore discounts on bulk purchases on slow offtake, falling pellet prices and decline in sponge prices. SteelMint's trade price assessment for 5-18 mm lump in Odisha moved down by INR 300-400/MT M-o-M and that for fines by around INR 200-300/MT in a months time.

Raipur (central India) pellet offers have weakened by INR 500-600/MT M-o-M.

However, on the other side, imported iron ore prices to India have witnessed increase on high global ore prices amid supply concerns of Vale and the impact of the cyclone on Australian supplies. Fe 62% fines index is currently seen at USD 89.65/MT, CFR China.