Domestic pellet prices in eastern and western India have witnessed an increase up to INR 100-250/MT W-o-W. However, in southern India and Central India pellet prices have shown marginal correction of INR 50/MT.
Western India pellet maker Jindal SAW has increased pellets offers by INR 250/MT to INR 6,650/MT (delivered Kandla) this week against last assessment of INR 6,400/MT.
Spot iron ore fines (Fe 62%) prices increased considerably last week from USD 64.05/MT, CFR China at the beginning of the week to USD 66.85/MT, CFR China towards the weekend.
Eastern Indian pellet makers raise offers-
Eastern India based pellets makers shared good buying interest. In Durgapur (eastern India) pellet price assessment has increased INR 150/MT W-o-W. Reference pellet price assessment for Durgapur stands at INR 5,700-5,800/MT (delivered) this week. P-DRI prices have remained stable at INR 20,500/MT (delivered) against last week’s assessment.
Southern India pellet makers decreased price amid supply surge in sponge-:
Southern India (Bellary) based pellet manufacturers have decreased offers this week amid low demand and decreasing P-DRI prices. Bellary pellet offers have moved down by INR 50/MT against our last assessment.
Current offers for Fe 63% grade pellets are heard around INR 6,850 (ex-Bellary) against INR 6,900/MT last week.
P-DRI (78 FeM) prices in Bellary have decreased sharply by INR500/MT in last one week at INR 19, 000/MT against INR19,500/MT.
Indian pellet market update: Week 17, 2018
1. Jharsuguda based major pellet manufacturer – Shyam Metaliks & Energy has used its entire pellet for the captive purpose, therefore no offer has reported this week.
2. One of the Durgapur based pellet makers reported 5000 MT deal concluded at INR 5,800/MT.
3. Indian pellet export price assessment remained stable this week at USD 109-110/MT, CFR China.
Indian Pellet Reference prices as on 25th Apr’18-
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Barbil* | 63 | 5,300-5,400 |
| Durgapur | 63 | 5,700 – 5,800 |
| Jamshedpur | 63 | 5,100-5,300 |
| Raipur | 63 | 6,100 |
| Bellary | 63 | 6,850 |
| Kandla** | 63 | 6,650 |
*loaded to wagons
**delivered
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research
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