Karnataka iron ore offtake falls sharply, only 25% of NMDC's output sold

Steel units justify sourcing from other states saying it helps them boost profits as the quality is superior and comes at a reasonable cost

Sale of iron ore from Karnataka mines, including state-owned NMDC's, has fallen sharply with user industries, mainly steel units, buying the commodity from Chattisgarh and Odisha due to better quality with reasonable cost.

NMDC has had an offtake of only 25 per cent the past two months, while for other miners the number's even lower as they claim steelmakers are arm-twisting them on price. However, steelmakers justify their position saying sourcing from other states helps them clock better profits as the quality is superior. They say high prices in Karnataka have forced small user industries to shut down or lower