India's Iron Ore Imports Poised for Seven-Year Peak in 2025–2026

India's Iron Ore Imports to Reach Seven-Year High in 2025-26

Overview India's imports of iron ore, a key raw material in steelmaking, are expected to reach 12 million to 14 million metric tons in the fiscal year ending on March 31, 2026, driven by a shortage of high-grade ore and demand from JSW Steel.

Demand from JSW Steel JSW Steel, India's largest steelmaker by capacity, is a key driver of iron ore imports for its mills in the western state of Maharashtra and the southern state of Karnataka. The company's demand for high-grade ore has led to an increase in imports from Brazil and Oman, which together accounted for about 70% of total shipments.

Global Market Impact The global iron ore market is also experiencing changes, with BHP's Jimblebar Fines iron ore being sold to India at discounted prices due to a ban on sales in China. This rare sale is expected to impact the global market, with India's imports of iron ore increasing to a seven-year high.

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Domestic Production India's iron ore output is expected to reach 305 million tons in the 2025-26 fiscal year, up from 289 million metric tons a year earlier. Exports of iron ore are also expected to reach 29 million metric tons, up 26% from a year earlier, with 85% of shipments going to China.

Export Trends India mainly exports low-grade iron ore that is generally not used by steel mills in the country. As iron ore output in India increases, exports are expected to rise, with 85% of shipments going to China.

Pellet Import Trends India's imports of iron ore pellets, processed or value-added products, from Iran are expected to decline due to the conflict in the Middle East. From April to February, India imported 1.88 million metric tons of iron ore pellets, up six times from a year earlier.