NMDC slashes iron ore rates by over 50%

State-run miner NMDC has slashed prices of iron ore fines by more than 52 per cent to Rs.1,460 per tonne for the current month as compared to Rs.3,060 a tonne in January as it faces subdued ore demand.

The price of the higher grade iron ore (lumps) has been reduced by 41 per cent to Rs.2,500 per tonne for October 2015 compared to Rs.4,200 in January.

Considering the global iron ore supply-demand scenario, analysts feel that a further downward revision in prices by NMDC is possible.

NMDC saw its sales go down 17 per cent to 11.27 million tonnes for April-August this fiscal from 13.57 million tonnes during the year-ago period. Production was also down 13 per cent to 10.52 million tonnes from 12.10 millin tonnes.