Indian DRI, billet and rebar update – 27 Jan

Indian secondary steel prices remained slightly volatile, however the market turned to be little supportive towards day end.

As per the assessment, sponge iron and billet prices have fluctuated by INR 100-300/t in most of the regions. Also, rebar prices fluctuated in the same range except in a few locations where prices drop sharply by INR 600/t & INR 900/t in Rourkela & Chennai, respectively.

Industry sources are assuming prices are likely to remain volatile ahead of the announcement of upcoming union budget in India. However, weakening global steel prices, may result in limited trades in Indian market.

Semi Finished

• Raipur based sponge P-DRI manufacturers have maintained offers firm at INR 24,100-24,200/t exw.
• Durgapur based mills concluded induction grade billet export deals at around $490/t exw, equivalent to $515/t CPT Nepal.
• Neo Metaliks in Durgapur has slightly lower steel grade pig iron offer by INR 100-200/t to INR 33,600-33,700/t exw, however no major inquiries, as per officials.
• Visa Steels is offering steel grade pig iron at INR 33,000/t exw Jajpur.
• Odisha based sponge manufacturer, Ganesh Metaliks sold around 1,000 t billet in Patna (Bihar) market at INR 35,400/t exw, an official reported.
• Jajpur, Odisha based sponge supplier sold around 2,000 t FeM 80 C-DRI mix material at around INR 24,900/t FoR Raipur.
• Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered billet at INR 35,000/t exw Badtumkela.
• BIOP Steels in South India has offered FeM 80 C-DRI lumps at INR 23,800/t exw Bellary.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 23,300-23,500/MT exw Bellary.

Rebar (12 mm)

• GK TMT is offering at INR 42,400/t exw Raipur (Up by INR 100/t).
• BS TMX TMT offers reported at INR 39,800/t exw Raigarh (Up by INR 300/t).
• Wonder Gold TMT offers assessed at INR 39,200/t exw Muzaffarnagar.
• Mono TMT is offering at INR 46,150/t FoR Ahmedabad (Up by INR 200/t).
• Kalika TMT kept offers at INR 45,500/t exw Jalna.
• Odisha based Rungta TMT offers reported at INR 39,500/t exw Kasira.

Wire Rod and Structure

• Mid scale mills wire rod export offers stood at $545-550/t exw Durgapur, equivalent to $570-575/t CPT Nepal.
• Trade discounts in Raipur wire rod is hovering at INR 1,000/t & base offers up by INR 300/t to INR 40,600/t exw. However, trade reference wire rod price in Durgapur fell by INR 200/t to INR 40,000/t exw.
• Raipur based heavy structure manufacturers, unchanged their base price at INR 41,000/t, and maintained trade discount by INR 1,000-1,300/t, current trade reference price of 200 mm Angle is at INR 42,600-43,000/t exw.

Reference prices as on 27th Jan’21