NMDC Cuts Iron Ore Prices by up to ₹550 per Tonne; Targets Record 55 Million Tonne Output

State-owned mining giant NMDC has announced a reduction in iron ore prices, cutting rates by ₹550 per tonne for Baila Lump and ₹500 per tonne for Baila Fines, effective October 22. The revised prices now stand at ₹5,550 per tonne for Lump and ₹4,750 per tonne for Fines.

This price revision comes nearly three months after the company’s last adjustment, reflecting changing market dynamics and demand patterns in the steel industry. NMDC’s decision is expected to provide some cost relief to steel manufacturers, who have been facing pressure from fluctuating raw material prices and weak steel demand in both domestic and export markets.

The latest cut marks NMDC’s fifth price revision in the current financial year and the sixth since January. The company last revised prices on August 1, when Baila Lump was priced at ₹6,100 per tonne and Baila Fines at ₹5,250 per tonne. Earlier adjustments in 2025 included price changes in January, May, June, and July, showing NMDC’s proactive response to market trends.

In terms of operational performance, NMDC reported a strong first half of FY26. The miner’s production surged 27% to 22.20 million tonnes for the six months ended September, compared to 17.47 million tonnes in the same period last year. Sales also grew over 12% to 22.25 million tonnes, up from 19.80 million tonnes a year earlier.

The company has set an ambitious target of producing 55 million tonnes of iron ore in the current fiscal year, which, if achieved, will mark a new record in NMDC’s operational history. This aligns with its strategy to strengthen supply chains, expand capacity, and maintain leadership as India’s largest iron ore producer.

Analysts believe the latest price cut could boost domestic steel production, offering competitive pricing advantages to Indian steelmakers amid global uncertainties. As the country’s infrastructure and construction sectors continue to expand, NMDC’s consistent pricing strategy plays a key role in stabilizing raw material costs and supporting industrial growth.