India: Iron ore sales at electronic auctions in Karnataka increased by more than 40 percent month-on-month in October 25 amid improved purchases

According to BigMint data, iron ore sales at electronic auctions in Karnataka increased sharply by 41 percent month-on-month to 1.19 million tons in October 2025, up from 850,000 tons in September. The steady volume growth reflects increased customer interest from sponge iron and pellet producers amid stable ore prices and stable demand for steel.

Of the total amount of material sold at auction in October, iron ore fines amounted to 612,000 tons, while lump fines amounted to 585,550 tons

The sharp increase of 41 percent month-on-month can be attributed to a combination of improved market conditions and seasonal economic recovery. demand. Firstly, the increased participation of manufacturers of sponge iron and pellets has significantly increased consumer activity. These refineries, which remained cautious during the rainy season due to production disruptions and weak steel demand, returned to the market after operations returned to normal.

Seasonal improvements in logistics and the resumption of work after the rainy season have facilitated the smooth movement of materials between mining and consuming regions. Improved road connections and reduced disruptions related to precipitation contributed to higher water extraction from the upper parts of the mines. In addition, with the end of the rainy season and the holidays, steel producers began to replenish stocks of raw materials in anticipation of increased construction and infrastructure activity, which further increased demand for electronic auctions in Karnataka in October.

NMDC stimulates the market

National Mineral Development Corporation (NMDC), the largest producer of iron ore in India, headed sales surge, recording 1.07 million tons of iron ore sales in October 2025. The volume, which includes 592,000 tons of small change and 482,000 tons of pieces, marked a significant increase of 84 percent month-on-month from 583,000 tons in September. The jump in NMDC sales was supported by the continued involvement of the sponge iron divisions.

Other mining companies are showing mixed results

Sandur Manganese and Iron Ore (SMIORE) became the second largest seller, reaching 64,000 tons of sales in October (including 4,000 tons of fines and 60,000 tons of lump ore), up from 57,000 tons in September.

Vedanta also showed strong growth, selling 28,000 tons (4,000 tons of fines and 24,000 tons), up 49 percent month-on-month from 18,800 tons in September, driven by improved market conditions