A method for manufacturing of iron- respectively micro-alloyed steel powders, starting from fluffy spray roasted iron oxides exhibiting a specific surface area in excess of 2.0 m2/g and residual chloride contents over 440 ppm Cl′, decrease the chloride content in two steps to less than 100 ppm, the specific surface area (BET) of to a pre-selected value of less than 10.0 m2/g, preferably between 0.1 and 2.0 m2/g and reduce the pre-sintered granules exhibiting a bulk density in excess of 1.200 g/dm3.