Indian DRI, billet and rebar update – 18 Mar

Spot trades in Indian secondary steel market were supportive today and prices have hiked up to INR 700/t ($10), d-o-d basis, however buying was noticed slow later, in the second half, by end of the day as market participants were hoping for the offers/prices to have come down.

As per the SteelMint’s assessment, the domestic sponge iron and billet offers have surged by INR 100-700/t in many locations, whereas, a sudden drop in prices by INR 100-200/t was seen in Southern region. In line with it, rebar prices have also raised by INR 300-500/t, however, prices slightly fell by INR 100/t in Bangalore & Chennai.

Raw Material

• Karnataka based BMM Ispat offered raw pellets at INR 11,500/t exw Bellary.
• Maharashtra based sponge manufacturers getting Rb2 coal offers at INR 6,200/t from Gangavaram port.
• Jsw Ispat Special Products Limited concluded few deals of 60-14 silico manganese at INR 86,000/t exw Raipur- Officials.

Semi Finished

• Induction grade billet export offers up by $5-10/t to $540/t exw Durgapur, equivalent to $565-570/t CPT Nepal. However demand remains on lessened price by around $5/t compared to prevailing offers, as per participants.
• Raipur based sponge P-DRI manufacturers have raised offers by INR 200/t to INR 27,200-27,400/t exw & deals reported INR 27,100-27,200/t on exw & FoR basis.
• Neo Metaliks in Durgapur has roll-over steel grade pig iron offer to INR 35,500-35,600/t exw.
• Odisha based plant – Jai jagannath sponge offered billet at INR 38,000/t & C-DRI mix material at INR 27,000/t exw Dhenkanal.
• Jharsuguda, Odisha based sponge supplier offered FeM 79 P-DRI at around INR 27,100/t FoR Raipur.
• Mahavir Ferro Alloys sold around 1,000 t billet (100×100 mm) at INR 38,500/t exw Rourkela.
• Sources reported Chandrapur (Maharashtra) based manufacturers offered sponge P-DRI (FeM 80) at INR 27,300-27,400/t exw.

Rebar (12 mm)

• GK TMT offers unchanged at INR 45,400/t exw Raipur.
• Shrishtii TMT offers reported at INR 42,900/t exw Raigarh (Up by INR 200/t).
• Rathi Stelmax TMT offers stable at INR 45,900/t exw Delhi/NCR.
• Wonder Gold TMT is offering at INR 44,000/t exw Muzaffarnagar (Up by INR 400/t).
• Mono TMT offers unchanged at INR 46,400/t FoR Ahmedabad.
• Kalika TMT kept offers stable at INR 47,200/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers increased by $8-10/t to $593-595/t exw Durgapur, equivalent to $620-625/t CPT Nepal.
• Trade discounts in Raipur wire rod drop to INR 800-1,000/t, following which trade reference price up by INR 400/t to INR 41,800-42,000/t exw. Also, prices in Durgapur gain by INR 500/t to INR 42,500-42,800/t exw.
• Raipur based heavy structure steel manufacturers, kept stable the base price of 150 mm Channel at INR 43,000/t, and given trade discount by INR 700-1,000/t, current trade reference price of 200 mm Angle is at INR 44,900-45,300/t exw.

Reference prices as on 18th Mar’21