Its sales rose by 10.7% in volume from a year ago, but average prices of iron ore lumps increased by a mere 0.9% while prices of iron ore fines were down by 54%. Iron ore prices have been falling in FY16 due to excess supply and a sluggish demand outlook for steel. Photo: Aniruddha Chowdhury/MintNMDC’s profitability is closely linked to iron ore prices. The two charts alongside show how its profit closely mirrors iron ore price movements. They picked up in the latter part of the year, as China’s appetite for producing steel and, therefore, iron ore has picked up.

Source: Mint May 31, 2016 02:26 UTC