Domestic Iron ore prices slashed by 25% from 1st December 2008

Finally, NMDC has decided to cut the domestic iron ore prices by 25% effective from 1st December 2008.  The standalone domestic players were impacted by relatively high iron ore prices on the one hand and crash in global steel prices on the other. 
 
Now some breather has come in terms of fall in iron ore prices.  But this cannot insulate the stand alone steel producers from erosion in margins, as the domestic steel prices are falling further in December 2008