Domestic Semi-finished offers today increase sharply, Sponge by INR 200-400/MT & Billet by INR 300-1,000/MT. The prices increase further in line with strong demand from both Indian domestic & global market.
During the day major price rise was seen in West & South India for Billet by INR 700-1,000/MT & in Sponge iron by INR 400/MT.
SteelMint’s price assessments for induction furnaces billet size 125×125 mm are reported at INR 28,500-32,400/MT (USD 442-502) ex-plant. Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 18,400-20,200/MT (USD 285-313); prices are ex-plant & excluding GST.
Today (Wednesday, December 13, 2017) INR to USD exchange rate stood at INR 64.44 & BSE Sensex closed at 33,053 (-174).
Key Market Updates:
1. An east India based pellet manufacturer, concluded a deal for 50,000 MT pellets to China at around USD 116-117/MT, CFR China – sources.
2. Essar Steel pellet imports reached at 0.18 MnT doubled M-o-M in Nov’17 against 0.09 MnT in Oct’17
3. Neelachal Ispat (NINL), India’s largest steel grade pig iron manufacturer has increased pig iron prices for both steel & foundry grade by INR 500/MT (USD 8).
4. Indian sponge iron export offers to Bangladesh remain unchanged with limited trade activities. The latest offers are assessed at USD 335/MT CPT Benapole & USD 340-345/MT CFR Bangladesh.
5. In Raipur, Central India Sponge suppliers remain limited as few of big manufacturers have hold sales. Thus, the offers for Sponge P-DRI further increase by INR 300-400/MT (D-o-D) to INR 19,200-19,300/MT ex-plant.
6. BMM Ispat in South India (Karnataka) has increased offers for FeM 80 P-DRI by INR 200-300/MT to INR 18,000/MT ex-Bellary, an official reported.
7. Melting scrap offers in Indian domestic market rise by INR 300-1,000/MT (USD 4-15) W-o-W due to shortage on higher imported scrap offers & rising billet prices.
8. Indian billet exports increased by about 30% in first eleven months of 2017, recorded at 2.3 MnT during Jan-Nov 2017, which was 1.75 MnT during the same period in 2016.
9. Medium mills in Raipur, Mumbai & Ahmdedabad reported strong demand in Rebars & light structures. Thus, the manufacturers in the respected markets have increased their offers by INR 400-600/MT, D-o-D.
10. According to trade sources, in recent South India – Chennai based couple of renowned producers have concluded rebar export deal to Myanmar at near to USD 580-590/MT CFR. Further, Billet export offers are reported at USD 490-500/MT, FoB India.
Reference prices as on 13th December 2017
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 19,600 | 19,600 | 19,700 | + 300 | 19,450 | 18,000 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 19,000 | 18,900 | 19,100 | + 300 | 18,600 | 17,200 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 20,200 | 20,100 | 20,300 | + 200 | 19,500 | 18,200 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 18,400 | 18,300 | 18,500 | + 400 | 17,900 | 16,800 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 18,600 | 18,600 | 18,700 | + 300 | 18,450 | 17,100 |
| Ex-Jharsugda | Lumps, FeM 78%, +/-1 | 18,100 | 18,000 | 18,200 | NA | NA | 16,000 | |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 19,300 | 19,200 | 19,400 | + 400 | 18,200 | 16,950 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 17,800 | 17,700 | 18,000 | + 200 | 17,500 | 16,600 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 18,200 | 18,000 | 18,300 | + 200 | 18,000 | 17,100 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 31,300 | 31,300 | 31,400 | + 300 | 31,000 | 29,750 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 29,100 | 29,000 | 29,200 | + 400 | 28,800 | 27,300 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 27,700 | 27,600 | 27,800 | + 300 | 27,100 | 26,000 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 28,600 | 28,500 | 28,700 | + 500 | 27,300 | 26,550 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 31,600 | 31,500 | 31,700 | + 1,000 | 29,800 | 27,400 | |
| Ex-Chennai | 3.5 x 4.5 Inch, IS 2830 | 30,500 | 30,300 | 30,500 | + 500 | 29,500 | 27,000 | |
| Ex-Hyderabad | 3.5 x 4.5 Inch, IS 2830 | 31,000 | 31,000 | 31,000 | + 700 | 29,750 | 28,000 | |
| Billet | Ex-Mandi Gobindgarh | 125×125 mm, IS 2831 | 31,800 | 31,700 | 31,800 | + 300 | 31,500 | 30,200 |
| Ex-Durgapur | 125×125 mm, IS 2831 | 29,350 | 29,300 | 29,400 | + 350 | 29,200 | 27,600 | |
| Ex-Rourkela | 125×125 mm, IS 2831 | 28,500 | 28,400 | 28,600 | + 300 | 27,700 | 26,400 | |
| Ex-Raipur | 125×125 mm, IS 2831 | 29,500 | 29,400 | 29,600 | + 400 | 28,200 | 27,150 | |
| Ex-Mumbai | 125×125 mm, IS 2831 | 31,800 | 31,800 | 31,900 | + 1,000 | 30,000 | 27,600 | |
| Ex-Chennai | 125×125 mm, IS 2831 | 31,000 | 31,000 | 31,200 | + 500 | 30,000 | 27,500 | |
| Ex-Hyderabad | 125×125 mm, IS 2831 | 31,000 | 31,000 | 31,000 | + 700 | 29,750 | 28,000 | |
| TMT | Ex-Delhi/NCR | 12MM | 34,500 | 34,300 | 34,700 | + 200 | 34,700 | 33,800 |
| Ex-Durgapur | 12MM | 32,000 | 31,800 | 32,200 | + 200 | 31,600 | 30,700 | |
| Ex-Raipur | 12MM | 32,200 | 32,000 | 32,400 | + 500 | 31,000 | 29,800 | |
| Ex-Mumbai | 12MM | 34,600 | 34,200 | 34,800 | + 500 | 33,400 | 30,900 | |
| Ex-Chennai | 12MM | 34,500 | 34,400 | 35,000 | + 500 | 33,000 | 31,000 | |
| Ex-Hyderabad | 12MM | 34,000 | 33,800 | 34,200 | + 700 | 32,700 | 30,850 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
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