The present invention relates to a process for the recycling of steel industry iron bearing by-products into a shape suitable for feeding into a direct reduction furnace, comprising the steps of mixing and grinding 50 to 99 wt % of ore and pellet fines and 1 to 50 wt % of slurry, mill scale and/or bag house dust, pelletizing the mixture and indurating the pellets so obtained by heating for 5-60 minutes at a temperature in the range of 1100-1350° C.; and a pellet produced from Iron bearing waste material and having compression strength of at least 2.8 kN and/or a drop number of at least 3.