Indian domestic pellet market has been quiet for more than one month due to the nationwide lockdown. According to the market, sources reported to SteelMint, few pellet makers from central and eastern India have resumed offers in the domestic market, although domestic uptake remains slow.
Raipur pellet offers down by INR 100/MT-: Raipur (central India) based pellet manufacturers had resumed quoting pellet offers in the domestic market last week. This week they have again lowered offer by INR 100/MT for Fe 63% grade to INR 5,800-5,900/MT (ex-Raipur, GST extra) as against last offer of INR 5,900-6,000/MT a week back. However, no deal has been concluded so far.
Barbil pellet offers-: As per the sources, Barbil (eastern India) based pellet manufacturers continued to quote pellet offers in the domestic market. Current offers for Fe 63% grade stands at around INR 5,100-5,300/MT (loaded to wagon, GST extra). However, no significant deal was reported.
Pellet plants in Bellary continue to remain suspended-: Southern India (Karnataka) based pellet makers continue to suspend operations due to the Coronavirus pandemic.
Jindal SAW pellet plant operations remain suspended – Bhilwara (Rajasthan) based pellet maker continues to keep operations on hold amid lock-down. Jindal SAW is a key supplier of pellets to Gujarat based steel mills.
SteelMint pellet reference prices as on 28th Apr’20
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Raipur | 63 | 5,800-5,900 |
| Barbil* | 63 | 5,100-5,300 |
| Jamshedpur | 63 | 5,000 |
| Jharsuguda | 63 | 5,000 -5200 |
| Bellary | 63 | No offer |
* Loaded to wagon
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research
Leave a Reply