Q2 FY27 production release: iron ore saleable output down 13% YoY, steel saleable production up 4%

Vedanta Iron and Steel Ltd released its Q2 FY27 production numbers.

Sat 3 Oct 2026

Iron ore saleable output

1.52 Mn DMT, down 13% YoY

Steel saleable production

532 thousand tonnes, up 4% YoY

Hot Metal

552 thousand tonnes, up 3%

Ductile Iron Pipes

22 thousand tonnes, up 225%

Billets

12 thousand tonnes, down 31%

Iron ore: Goa and Odisha grow, Karnataka slips

Vedanta Iron and Steel Limited's Q2 FY27 production release shows total production of saleable ore at 1.52 Mn DMT, down 13% from 1.75 Mn DMT a year earlier. Compared with Q1 FY27's 2.64 Mn DMT, the quarter was lower by 43%.

• Goa: 0.10 Mn DMT, up 22% year-on-year from 0.08 Mn DMT. The company links this to ramp-up of mining operations and enhanced processing capacity.
• Karnataka: 0.51 Mn DMT, down 49% from 0.99 Mn DMT. The company says Q2 saleable ore production was aligned with revised estimates, in accordance with the updated mine plan.
• Odisha: 0.91 Mn DMT, up 34% from 0.68 Mn DMT, on higher operational efficiency.

For H1 FY27, total saleable ore was 4.16 Mn DMT against 4.29 Mn DMT in H1 FY26, down 3%. Goa rose to 0.72 Mn DMT from 0.31 Mn DMT (up 130%), Odisha to 2.08 Mn DMT from 1.42 Mn DMT (up 46%), while Karnataka fell to 1.36 Mn DMT from 2.56 Mn DMT (down 47%).

Karnataka BHQ material

The ore mined from Karnataka mines includes BHQ material, shown separately at 0.25 Mn DMT in Q2 FY27 against 0.38 Mn DMT a year earlier, down 33%. The company says this material will be processed once the beneficiation plant is commissioned.

Steel: saleable production up 4%

• Hot Metal: 552 thousand tonnes, up 3% year-on-year from 533 thousand tonnes. Bokaro 315 (up 7%), Goa 236 (down 1%).
• Saleable Production: 532 thousand tonnes, up 4% from 512 thousand tonnes.
• Pig Iron 277 (down 1%), Billets 12 (down 31%), TMT Bar 112 (up 12%), Wire Rod 108 (unchanged at 0%), Ductile Iron Pipes 22 (up 225%).

For H1 FY27, saleable production was 1114 thousand tonnes against 1074 thousand tonnes, up 4%, and Hot Metal was 1153 thousand tonnes against 1116 thousand tonnes, up 3%.

Q2 against Q1

The release notes that saleable steel production in Q2 FY27 is lower against Q1 FY27 due to scheduled furnace maintenance. Total saleable steel production was 532 thousand tonnes in Q2 against 582 thousand tonnes in Q1, and Hot Metal was 552 thousand tonnes against 601 thousand tonnes.

Business context

Vedanta Iron and Steel Limited became effective on May 1, 2026 following Vedanta's demerger. The operational performance is presented for the full quarter of the business constituents of VISL, as they exist at the end of the first quarter of FY2027, for meaningful like-for-like comparison with historical performance. The company describes itself as a fully integrated iron and steel company with interests across iron ore mining, processing and steel manufacturing.

How to read this

A production release covers volumes only, not prices, costs or profits, so it is one input among several. The quarter shows growth in steel volumes and in Goa and Odisha ore output, alongside a sharp year-on-year fall in Karnataka ore output and lower volumes sequentially in both segments.

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