India’s state-run miner NMDC Limited has announced a changed pricing structure for iron ore lumps and fines, inclusive of statutory levies shifting from prices exclusive of such taxes earlier, company sources said on Wednesday, Tuesday 19.
The sources said that effective prices for all immediate deliveries now stand at INR 6,270/mt ($76.37/mt) ex-pithead for lumps of Fe content of 67 percent and above, 10-40 mm, and iron ore fines at INR 4,210/mt ($51.27/mt) ex-pithead for fines of Fe content of 64 percent, 10 mm.
These prices are all inclusive of mandatory levies like District Mineral Fund (DMF) and National Mineral Exploration Trust (DMET) cess and forest permit fees.
Though directly comparable with previous prices as the latter were exclusive of these levies, industry analysts have worked out that, after “neutralizing” the taxes, on a net of tax basis, current effective prices are INR 200-300/mt ($2.40-3.60/mt) lower than the effective prices charged last month.