Found an interesting study. The conclusion sold it for me.
ncbi.nlm.nih.gov/pmc/articl...
CONCLUSION
Vitamin D is associated with anemia in various study populations and recent evidence suggests that the association may differ by race and is likely specific to anemia of inflammation. The link to anemia of inflammation is supported by recent investigations showing that vitamin D can reduce hepcidin-stimulatory proinflammatory cytokines, thereby reducing hepcidin, and act on hepcidin directly by downregulating HAMP mRNA transcription. Recent studies have also suggested that vitamin D may support erythropoiesis, possibly through reduction of proinflammatory cytokines and increased erythroid progenitor cell proliferation. Other factors on the bone-mineral axis, including FGF-23 and PTH, may have regulatory roles in iron homeostasis and erythropoiesis, and there is some evidence suggesting that the actions of FGF-23 may be independent of vitamin D [25&&]. The interplay between all three hormones in regulating iron metabolism will be an interesting area of future study.
In summary, there is strong evidence both epidemiologically and mechanistically to support a role for vitamin D in iron metabolism, but further clinical trials are needed to clarify the therapeutic efficacy of vitamin D in improving anemia.