Indian pellet export prices have moved up this week and exporters are eyeing for further hike in offers post Vale dam collapse anticipating some supply disruption in global seaborne pellets.
SteelMint’s current assessment for regular grade pellet (Fe 64+/-1%, 3% alumina) export stands at USD 116-117/MT, CFR China which was USD 111-112/MT, CFR China earlier this week.
According to market sources report to SteelMint, central India based pellet maker – Godawari Power & Ispat Ltd. has concluded an export deal of 50,000 MT pellet for Fe 64% (+/-.5%) with 2% alumina from Gangavaram port to China for mid-Mar’19 shipment.
As per sources, the deal has been concluded at around USD 118-119/DMT, CFR China. This would be translated at around INR 7,400/WMT FoR basis to Gangavaram port.
Last deal concluded by Godawari Power & Ispat Ltd. on 11th Jan’19 for 50,000 MT pellet from Gangavaram port at around INR 6,000/WMT (ex-plant).
After the recent mishap, iron ore miner- Vale has announced plans to halt 40 million tonnes of iron ore production and 10-11 million tonnes of pellet production, so that it can decommission dams similar to the one that burst last week.
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