View Banners
Hide Banners


India could turn into iron ore importer again – Credit Suisse

Mining output cut in eastern state of Odisha could turn India into iron ore importer again and lead to a rise in domestic prices of iron ore, Credit Suisse analysts write in a note.

Odisha suspended operations of seven mines after leaseholders failed to meet a deadline on Dec. 31, but a govt official told Reuters that India’s top iron ore state is likely to meet output target of 100 mln tonnes of ore in FY 2017/18.

With domestic steel output still growing, ore exports have fallen to near-zero in recent months, and until other Odisha mines ramp up, India may turn into a net importer again – CS analysts.

Higher domestic steel prices help vertically integrated manufacturers such as Tata Steel Ltd, CS analysts add.

Jefferies says a rally in domestic iron ore prices could cap margin gains at non-integrated steel firms such as JSW Steel Ltd in near term.

Shares of Tata Steel have risen 0.3 pct this year as of Wednesday’s close, while JSW Steel has fallen 0.4 pct.

Source: Reuters

Previous Next

Huge Opportunities For Investment in Maritime Sector: Nitin Gadkari

View More Videos

India Tanker Shipping & Trade Summit 2019

View All Albums