NMDC iron ore prices up ₹200/tonne: Baila Lump, Fines

What NMDC changed and why it matters

State-owned NMDC, India’s largest iron ore mining company, has raised prices for two key products: iron ore lump and fines. The latest increase is ₹200 per tonne, and it is effective immediately, as disclosed by the company. For steel producers and traders tracking raw material costs, NMDC’s periodic price revisions act as an important domestic benchmark. The move also comes soon after the company revised prices earlier in April.

May 6 hike: revised prices for lump and fines

NMDC informed the stock exchanges that it has fixed the price of Bailadila lump ore at ₹5,500 per tonne. It has also fixed Bailadila fines at ₹4,700 per tonne. Both prices reflect an increase of ₹200 per tonne compared with the previous revision. The company said the revised rates are applicable with immediate effect.

What the April 5 revision looked like

In the previous price revision announced on April 5, NMDC had set Bailadila lump at ₹5,300 per tonne. Bailadila fines were fixed at ₹4,500 per tonne at that time. Another exchange filing around that revision said the updated prices were effective from April 5, 2026. NMDC also described those as ‘Free-on-Rail’ (FOR) prices.

Taxes and levies not included in the announced rates

NMDC clarified that the revised prices effective from May 6 do not include statutory charges and taxes. Specifically, the company said the prices exclude royalty, District Mineral Foundation (DMF) charges, and the National Mineral Exploration Trust (DMET) levy. It also said the prices do not include cess, forest permit fee, transit fee, GST, environmental cess, and other taxes. This means the final landed cost for buyers will be higher than the headline per-tonne price.

Grade details mentioned in the exchange disclosures

The April exchange communication also referenced grade specifications from the Bailadila mines in Chhattisgarh. It listed Baila Lump as 65.5% Fe. It listed Baila Fines (-10mm) as 64% Fe, and described high-quality fines as suitable for steel production. These details help clarify that the revisions relate to standard NMDC grades used by domestic steelmakers.

Record volumes in FY 2025-26: production and sales

Separate disclosures from the Ministry of Steel highlighted record annual output for FY 2025-26. NMDC reported total production of 53.15 million tonnes (MT), with a 21% growth, according to the ministry’s press release. Sales reached 50.23 MT, up 13%, marking the company’s best volumes since inception, the release said. The ministry also said NMDC became the first company in India’s mining history to surpass the 50 million tonnes annual production mark.

March performance: sharp year-on-year jump

The same official update also provided a March snapshot. NMDC’s iron ore production rose 51% year-on-year to 5.35 million tonnes in March. It also reported a 40% growth over the corresponding year in iron ore sales for the month. These operating numbers provide context for why NMDC’s price changes are closely followed, since volumes and realisations together shape earnings.

Stock market reaction around the April price revision

After the April 5 revision, NMDC stock sustained gains on April 6. It touched an intraday high of ₹80.75 on the BSE, which was reported as a 3% rise from the prior close. While the May 6 price hike was disclosed separately, the earlier market reaction shows investors track NMDC’s price realisations and volume milestones.

Key numbers at a glance

The table below summarises the most important disclosed data points from the price revisions and operating update.

What to watch next

NMDC’s May 6 revision continues the company’s practice of updating domestic iron ore prices through exchange disclosures. For buyers, the headline prices are only part of the cost picture because multiple levies and taxes are excluded from the FOR rates. For investors, the combination of price realisations and record FY 2025-26 volumes will remain central in tracking NMDC’s performance. Any future regulatory filings on further revisions, or updates on volumes, will be the next key datapoints.