Indian iron ore production rose 9.2% on-year in October to 15.9 million tonnes at a value of INR 2,047 crore ($301.6 million), Kallanish learns from India’s mines ministry.

Chrome ore production increased 8.5% to 211,000t, while manganese ore output rose 14.1% to 188,000t.

Indian domestic iron ore availability is gradually improving after the reopening of various mines following the lifting of an iron ore mining ban that caused a shortage. Credit rating agency ICRA recently said the imminent resumption of output at seven iron ore mines in Karnataka with combined 8.2 million tonnes/year capacity is expected to ease the state’s supply tightness (see Kallanish 5 December).

In March India removed 10-30% duties on exports of iron ore below 58% Fe content, giving an incentive to miners to boost production. The same month iron ore prices increased globally thanks to growing Chinese demand. This gave miners a push to boost output.

Production of coal in September, meanwhile, declined -1% on-year to 52.2mt at a value of INR 6,076 crore. India is in the process of carrying out coal block auctions that are seen eventually easing the domestic shortage. State-owned Coal India Limited has been tasked to double annual production to 1 billion tonnes by fiscal year 2019/20.