Indian DRI, billet and rebar update – 3 Mar

Spot trades in Indian secondary steel market were dull today and prices have declined up to INR 600/t ($8) d-o-d.

According to SteelMint’s assessment, sponge iron and billet prices have fallen by INR 100-600/t in most of the markets. In context to finish long, the rebar market has also noticed a downfall in prices by INR 100-500/t nationwide except the Southern India (Bangalore & Chennai) where prices have marginally risen by INR 100-200/t.

Participants in Northern India – Punjab are expecting prices to rebound as input cost of furnaces is still on the higher side. The prices have come down in the last couple of days as furnaces have to pay their electricity bills, for which they desperately concluded deals at lower prices, they added.

Semi Finished

• Induction grade billet export offers remain unchanged at around $518-520/t exw Durgapur, equivalent to $545/t CPT Nepal, however demand remains limited, as per market sources.
• Raipur based sponge P-DRI manufacturers have kept offers firm at INR 27,400-27,500/t exw, however, offers from outside suppliers reported at INR 27,200/t FoR Raipur.
• Durgapur based Neo Metaliks has reported steel grade pig iron deals at a firm price range of INR 35,500-35,700/t exw.
• Raigarh based Singhal Steel offered billet at INR 38,000/t exw (Down by INR 200/t).
• BMM Ispat offered FeM 80 P-DRI lumps at INR 26,200/t exw Bellary (Down by INR 100/t).

Rebar (12 mm)

• GK TMT offers stable at INR 45,500/t exw Raipur.
• Rathi Stelmax TMT offer reported at INR 45,350/t exw Delhi/NCR.
• Wonder Gold TMT is offering at INR 43,000/t exw Muzaffarnagar.
• Mono TMT offers unchanged at INR 47,450/t FoR Ahmedabad.
• Shree OM TMT offer stable at INR 47,600/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers unaltered at around $580/t exw Durgapur, equivalent to $605/t CPT Nepal.
• Trade discounts in Raipur wire rod increased to INR 1,500-1,700/t, following which trade reference price went down by INR 300/t to INR 41,800-42,000/t exw. Also, prices in Durgapur plunged by INR 300/t to INR 42,100-42,300/t exw Durgapur.
• Raipur based heavy structure steel manufacturers, unchanged the base price at INR 43,200/t, and given trade discount by INR 1,100-1,400/t, current trade reference price of 200 mm Angle is at INR 44,800-45,200/t exw.

Reference prices as on 3rd Mar’21