Domestic iron ore prices to buck global decline on strong demand

摘要

Robust growth in domestic demand and elevated pellet prices have shored up prices of iron ore in the country. Over the past six months, while global iron ore prices have been fairly steady at $65-70/ tonne, domestic iron ore prices have zoomed 40-45% on-year. The spread between landed prices and domestic prices of ore has reduced as a result. Currently, the 62 Fe grade domestic ore trades at a 16% discount to the landed price compared with a 45% discount in fiscal 2017 and a 31% discount in fiscal 2018.