{"id":56762,"date":"2026-02-10T13:18:48","date_gmt":"2026-02-10T07:18:48","guid":{"rendered":"https:\/\/biztrend24.com\/?p=56762"},"modified":"2026-02-10T13:18:48","modified_gmt":"2026-02-10T07:18:48","slug":"indias-pellet-production-increases-by-6-y-o-y-in-cy25","status":"publish","type":"post","link":"https:\/\/biztrend24.com\/?p=56762&lang=en","title":{"rendered":"India&#8217;s pellet production increases by 6% y-o-y in CY&#8217;25"},"content":{"rendered":"<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Crude steel production rises 10% in CY&#8217;25<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Sponge iron output climbs up by 8% y-o-y<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Capacity underutilisation remains concern<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>Morning Brief:\u00a0India&#8217;s iron ore pellet production increased by 6% y-o-y to 112.6 million tonnes (mnt) in CY&#8217;25, as per data maintained with BigMint. In the past few years, India&#8217;s pellet production has accelerated rapidly with rising crude steel production and the growing need for energy efficiency in steelmaking.<\/p>\n<p>State-wise production:<\/p>\n<p>Besides Andhra Pradesh, pellet production increased in all states.<\/p>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-56763\" src=\"https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131457.957.jpg?resize=640%2C360&#038;ssl=1\" alt=\"\" width=\"640\" height=\"360\" srcset=\"https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131457.957.jpg?resize=300%2C169&amp;ssl=1 300w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131457.957.jpg?resize=1024%2C576&amp;ssl=1 1024w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131457.957.jpg?resize=768%2C432&amp;ssl=1 768w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131457.957.jpg?w=1280&amp;ssl=1 1280w\" sizes=\"auto, (max-width: 640px) 100vw, 640px\" \/><\/p>\n<p>Top producers:<\/p>\n<p>All leading producers, except for AM\/NS, raised their pellet output in CY&#8217;25.<\/p>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignnone  wp-image-56764\" src=\"https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131529.067.jpg?resize=640%2C360&#038;ssl=1\" alt=\"\" width=\"640\" height=\"360\" srcset=\"https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131529.067.jpg?resize=300%2C169&amp;ssl=1 300w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131529.067.jpg?resize=1024%2C576&amp;ssl=1 1024w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131529.067.jpg?resize=768%2C432&amp;ssl=1 768w, https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131529.067.jpg?w=1280&amp;ssl=1 1280w\" sizes=\"auto, (max-width: 640px) 100vw, 640px\" \/><\/p>\n<p>Factors boosting pellet production:<\/p>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Crude steel production rises 10% y-o-y: India&#8217;s crude steel production increased by 10% y-o-y to 164 mnt in CY&#8217;25 from 149 mnt in the previous year, propelling demand for pellets.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Sponge iron output climbs up by 8% y-o-y: India&#8217;s sponge iron production increased 8% y-o-y to 58.8 mnt in CY&#8217;25, necessitating higher pellet availability. Secondary steelmakers continued to depend heavily on sponge iron as a substitute for imported scrap, particularly due to affordability and ample availability.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li>Capacity additions lift output: Producers such as Lloyds Metal, Bengal Energy, and the Adukia Group have steadily ramped up pellet production capacity in line with India&#8217;s goal to achieve 300 mnt of steel production by 2030. This has contributed to the sustained increase in output in recent times, especially from West Bengal and Maharashtra.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>In fact, over FY&#8217;21-25, India&#8217;s installed capacity for pellet production rose by 69.5 mnt to 161.3 mnt, while output increased by just 37 mnt to 106.3 mnt.<\/p>\n<p>Outlook:<\/p>\n<p>India&#8217;s pellet output is expected to continue rising, driven by growing steel and sponge iron production. Given that some blast furnace-based steelmakers have raised the share of pellets in their raw material mix to over 50% from 25%, pellet consumption is set to rise significantly.<\/p>\n<p>However, low capacity utilisation rates &#8212; currently around 65% &#8212; remain a concern. Lacklustre export demand, limited availability of high-grade ore, tight margins, and a shift to lump-based sponge iron (CDRI) have collectively weighed on pellet production. Rising pellet imports have also worsened the situation for certain producers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Crude steel production rises 10% in CY&#8217;25 Sponge iron output climbs up by 8% y-o-y&#8230;<\/p>\n","protected":false},"author":1,"featured_media":56765,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[313],"tags":[],"class_list":["post-56762","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-iron-steel"],"jetpack_publicize_connections":[],"featured_image_urls":{"full":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=1280%2C720&ssl=1?v=1770707914",1280,720,false],"thumbnail":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?resize=150%2C150&ssl=1?v=1770707914",150,150,true],"medium":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=300%2C169&ssl=1?v=1770707914",300,169,true],"medium_large":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=640%2C360&ssl=1?v=1770707914",640,360,true],"large":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=640%2C360&ssl=1?v=1770707914",640,360,true],"1536x1536":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=1280%2C720&ssl=1?v=1770707914",1280,720,true],"2048x2048":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=1280%2C720&ssl=1?v=1770707914",1280,720,true],"covernews-slider-full":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?resize=1115%2C715&ssl=1?v=1770707914",1115,715,true],"covernews-slider-center":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?resize=800%2C500&ssl=1?v=1770707914",800,500,true],"covernews-featured":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=1024%2C576&ssl=1?v=1770707914",1024,576,true],"covernews-medium":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?resize=540%2C340&ssl=1?v=1770707914",540,340,true],"covernews-medium-square":["https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?resize=400%2C250&ssl=1?v=1770707914",400,250,true]},"author_info":{"display_name":"Biz Trend 24","author_link":"https:\/\/biztrend24.com\/author\/online24"},"category_info":"<a href=\"https:\/\/biztrend24.com\/?cat=313&#038;lang=en\" rel=\"category\">Iron &amp; Steel<\/a>","tag_info":"Iron &amp; Steel","comment_count":0,"jetpack_featured_media_url":"https:\/\/i0.wp.com\/biztrend24.com\/wp-content\/uploads\/2026\/02\/Untitled-design-2026-02-10T131424.623.jpg?fit=1280%2C720&ssl=1?v=1770707914","jetpack-related-posts":[{"id":53405,"url":"https:\/\/biztrend24.com\/?p=53405&lang=en","url_meta":{"origin":56762,"position":0},"title":"India&#8217;s iron ore imports hit 7-year high in CY&#8217;25 as production lags behind demand","author":"Biz Trend 24","date":"January 8, 2026","format":false,"excerpt":"India resumes pellet imports after nearly 4-year hiatus 25% drop in iron ore output drives JSW to double imports Material shortages keep Indian prices firm, global prices fall Morning Brief:\u00a0India's iron ore imports stood at 12.2 million tonnes (mnt) in CY'25, as per provisional data maintained with BigMint. 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