CORPORATE: Ore price hike by NMDC hits sponge iron makers.

from BUSINESS LINE, July 08, 2010 Kolkata, July 7 - The recent hike in prices of iron ore by NMDC Ltd has hit hard sponge iron manufacturers, particularly those in Chhattisgarh.

There are 90 sponge iron units in Chhattisgarh producing around 12 million tonnes annually. They source bulk of their ore requirement, about 10-12 million tonnes annually from Orissa and the balance, an estimated 3 million tonnes, from NMDC mines. According to Mr Anil Nachrani, President, Chhattisgarh Sponge Iron Manufacturers Association, the hike in prices by NMDC ranges between 14 and 17 per cent for the quarter July/September. Thus, the price of crushed lump ore (CLO) has been raised by nearly 17 …