Daily Update: Indian Sponge & Billet Market

In the week opening, Indian Semi finished steel offers fall slightly – Sponge iron by INR 100/MT & Billet by INR 100-300/MT. As per market participants, the prices decline on account of limited inquiries.

In current circumstances the Industry participants believe stability in prices looking at poor margins (conversion spread) of Ingot/Billet producers. In addition better export inquiries are somehow indicating supportive prices in near term.

SteelMint’s latest price assessment for induction furnaces billet in Indian market stood at INR 30,800-34,100/MT (USD 448-497) ex-plant. Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 19,300-22,000/MT (USD 281-321); prices are ex-plant & excluding GST.

Rupee & BSE Sensex

On 30th July 2018 (Monday) INR to USD exchange rate stood at INR 68.65

BSE Sensex closed at 37,494(+157) on Monday, as against last day (Friday) at 37,336(+352).

Raw material

Rungta Mines – India’s largest private merchant miner produced 2.08 MnT iron ore in June’18, down by 22% M-o-M as against 2.66 MnT in May’18.

Odisha Mining Corporation (OMC), a state-owned miner is to conduct next e-auction for 290,000 MT iron ore CLO and lump on 03 Aug’18.

Imported scrap offers to India for HMS 1&2 (80:20) Dubai origin containers stood at around USD 330/MT, CFR Nhava Sheva

Semi finished

Jindal Steel has offer Steel grade Pig iron at INR 29,000/MT ex-plant, Raigarh & Panther shots (Granulated pig iron) at INR 27,500/MT ex-plant, Angul – Odisha.

Sources reported, NINL received good response in pig iron offers and more than 30,000 MT has been booked by Central & North India based stockiest. The Fresh domestic prices for Steel (N1) grade at INR 27,500-27,900/MT (USD 400-406) & Foundry (N2) grade at INR 28,500/MT (USD 415); prices are excluding GST, ex-Cuttack, East India

Raipur, Central India based Integrated plants offers unaltered, offering Sponge P-DRI at INR 20,300-20,400/MT & Sponge DR CLO grade at INR 23,000-23,100/MT ex-plant.

Rashmi Metaliks in Durgapur, known as price trend setter heard to has unchanged Sponge prices and offered P-DRI at INR 20,000/MT & Billet around INR 32,000/MT.

Raigarh based smelters purchased 80 FeM C-DRI mix material from Odisha at INR 21,300/MT FoR Raigarh

Raigarh based Singhal Steel offered P-DRI at INR 19,400/MT ex- plant, an official reported. Also, the company is offering Billets at INR 31,500/MT FoR Raipur.

Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 20,500-20,600/MT & Billet at INR 30,700-30,800/MT ex-plant. As per officials, trade activities average at the offer prices.

 BMM Ispat a price trend setter in South Indian sponge market has kept offers unaltered today and offering FeM 80 P-DRI lumps at INR 18,500-18,600/MT ex-Bellary, Karnataka.

BIOP Steels in South India has increased sponge prices by around INR 200/MT, offering FeM 80 & 82 C-DRI lumps at INR 19,300/MT & INR 19,700/MT ex-plant, Karnataka; an official reported.

South India (Telangana) based Cauvery Iron & Steel offers FeM 80 P-DRI & Billet at INR 19,200/MT & INR 33,500/MT. Also offering 28 MM Rebar at INR 34,700/MT (Adv. payment). All prices are ex-plant & excluding GST.

Finish Long

Central region, Raipur based brand as SPEED TMT known as price settler for other brands unchanged their prices on day basis & current offering basic rebar at INR 32,500/MT (size – 28 mm), ex-work & excluding GST.

Shakti Ferro Alloys in Chennai, South Region has offered Rebar at INR 39,000/MT (12 mm) & Billet offering at INR 34,000/MT on advance payment term ex-work & excluding GST. As per official view demand is dull and South East Asia – Billet buying inquiries reach around USD 480-485/MT which can’t be concluded as price realization is better in domestic trades.

Jalna based rebar manufacturer – SRJ Peety Steels Pvt Ltd branding Shree Om TMT has unchanged their prices on day basis & current offering rebar at INR 33,800/MT (28 mm), ex-work & excluding GST.

Gujarat based, Keyur Ispat Ltd has unchanged their price on d-o-d basis & offering basic rebar at INR 44,000/MT FoR & including GST at 18%, Size – 20 mm & Billet at around INR 33,200-33,400/MT, ex-work and excluding GST.

Rathi Steels, known as price trend setter for Northern region has decreased prices by around INR 1,000/MT on day basis and offered 12 mm at INR 37,700/MT ex-Delhi. As per Co. associates, dull inquiries led to slow supply movement and might get slight amendment further.

West region – Kolhapur based – ARYA STEELS ROLLING (INDIA) LIMITED branding as Power-X offered rebar 28 mm at INR 33,800/MT; unchanged on day basis. The company’s monthly rebar production capacity at around 15,000 MT.

Today, suppliers in Raipur have increased trade discount on Wire rod and current discount is up to INR 1,500/MT.

Reference prices as on 30th July 2018

  Particular/Delivery Size, Grade, Origin Prices Min Max Change 1W 1M
Scrap Ex-Mumbai HMS(80:20) 25,000 24,900 25,100 + 200 24,500 25,000
Ex-Chennai HMS(80:20) 22,700 22,600 22,800   0 22,600 24,900
C-DRI Ex-Durgapur Mix, FeM 78%, +/-1 21,200 21,200 21,300   0 20,200 22,200
Ex-Rourkela Mix, FeM 80%, +/-1 20,700 20,600 20,800 – 100 20,600 20,800
Ex-Raipur Mix, FeM 80%, +/-1 22,000 21,900 22,100   0 21,700 21,600
Ex-Bellary Lumps, FeM 80%, +/-1 19,300 19,200 19,400   0 19,000 19,200
P-DRI Ex-Durgapur Lumps, FeM 78%, +/-1 19,900 19,800 20,000   0 19,000 21,200
Ex-Raipur Lumps, FeM 80%, +/-1 20,350 20,300 20,400 – 50 19,700 19,850
Ex-Bellary Lumps, FeM 80%, +/-1 18,600 18,500 18,700   0 18,200 18,600
Ex-Hyderabad Lumps, FeM 80%, +/-1 19,100 19,000 19,200   0 18,800 19,400
Ingot Ex-Mandi Gobindgarh 3.5 x 4.5 Inch, IS 2830 33,600 33,500 33,700 – 400 33,900 36,800
Ex-Durgapur 3.5 x 4.5 Inch, IS 2830 31,300 31,200 31,400 – 300 30,800 34,000
Ex-Rourkela 3.5 x 4.5 Inch, IS 2830 30,200 30,100 30,300   0 30,200 33,000
Ex-Raipur 3.5 x 4.5 Inch, IS 2830 30,550 30,500 30,600 – 250 30,700 33,300
Ex-Mumbai 3.5 x 4.5 Inch, IS 2830 32,050 32,000 32,100 + 450 31,500 34,100
Ex-Chennai 3.5 x 4.5 Inch, IS 2830 33,600 33,500 33,700   0 33,500 34,300
Ex-Hyderabad 3.5 x 4.5 Inch, IS 2830 33,200 33,100 33,300   0 33,200 33,700
Billet Ex-Mandi Gobindgarh 125×125 mm, IS 2831 34,100 34,000 34,200 – 400 34,400 37,300
Ex-Durgapur 125×125 mm, IS 2831 31,900 31,800 32,000 – 300 31,400 34,500
Ex-Rourkela 125×125 mm, IS 2831 30,800 30,700 30,900   0 30,900 33,800
Ex-Raipur 125×125 mm, IS 2831 31,400 31,300 31,500 – 200 31,300 34,300
Ex-Mumbai 125×125 mm, IS 2831 32,350 32,300 32,400 + 450 31,800 34,300
Ex-Chennai 125×125 mm, IS 2831 34,100 34,000 34,200   0 34,000 34,800
Ex-Hyderabad 125×125 mm, IS 2831 33,500 33,400 33,600   0 33,500 34,000
TMT Ex-Delhi/NCR 12-25 MM, IS 1786- 500 Fe 37,000 36,500 37,000 – 500 37,700 42,000
Ex-Durgapur 12-25 MM, IS 1786- 500 Fe 35,600 35,400 35,800   0 35,600 39,300
Ex-Raipur 12-25 MM, IS 1786- 500 Fe 34,700 34,500 34,900   0 35,100 39,200
Ex-Mumbai 12-25 MM, IS 1786- 500 Fe 35,900 35,700 36,100 + 200 35,800 38,600
Ex-Chennai 12-25 MM, IS 1786- 500 Fe 38,700 38,500 39,000 – 200 39,000 39,800
Ex-Hyderabad 12-25 MM, IS 1786- 500 Fe 37,500 37,300 37,700 – 500 38,000 39,250

Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *