Hyderabad: NMDC has reduced the prices of iron ore by Rs.400/- on 9th May 2020 and also reduced the price of DRC, LO by Rs.470/- per tonne.
Earlier also on April 4,2020, NMDC has reduced the price of iron ore by Rs.500/- per tonne and DRCLO by Rs.580/- per tonne. In this way, within a span of one month, NMDC has reduced the iron ore by Rs.900/- per tonne and DRCLO by Rs.1,050/- per tonne. The main customers of DRCLO are Chhattisgarh parties.
This reduction is the prices of iron ore has given a lot of relief to the steel companies, especially sponge iron based steel companies of Chhattisgarh.
NMDC has considered the current market scenario of steel and iron ore and taken informed decision to rationalize the prices. It may be noted that all the major steel mills are running at reduced capacity because of depleted demand of end products.
Some of the merchant miners at Orissa including OMC have reduced the iron ore prices by Rs.500/- per tonne in their recently concluded auction, still they could not dispose of entire quantity.
N. Baijendra Kumar, IAS, CMD, NMDC said “The reduction in prices by NMDC has given a lot of relief to the steel companies and they appreciated this move of NMDC at this difficult juncture.