SteelMint’s bi-weekly domestic pellet index “PELLEX ” moved down by INR 50/t to INR 12,100/t, DAP Raipur in recent deals. Around 17,000 t pellet deals were concluded at 11,900-12,250/t (DAP Raipur) in this publishing window according to the sources report to SteelMint.
As per the SteelMint analysis, domestic pellet trades have picked up this week. However, buyers are still not aggressively booking pellets owing to better realization on cheaper raw material (lumps and NMDC DRCLO) availability.
On the other hand, a couple of Raipur based pellet makers are still not offering material in the domestic market owing to pending deliveries of export bookings. Other Raipur based pellet makers have kept the offers stable at INR 12,150/t (DAP Raipur).
Pellet sponge (P-DRI) prices in Raipur have moved down by INR 200/t to INR 27,200/t as against INR 27,400/t exw last week. On a daily basis, prices have remained stable.
Indian pellet market overview-:
Barbil (Odisha) based pellet makers have raised pellet offers by INR 300-400/t on resumed buying interest, market participants shared with SteelMint. The current assessment for Fe 63% grade pellet stands at INR 11,400-11,800/t (loaded to the wagons).
The hike in iron ore lump offers of INR 500 announced recently by Essel Mining along with resumed pellet buying interest by eastern India-based mill have resulted in a hike in offers. Lump offer was increased due to tight supplies as EC limit of few small merchant miners got exhausted.
Rationale – PELLEX has been derived using data points: i.e., trades, offers and bid. You can download the detailed methodology by clicking on this link Click here
- Few deals have been concluded in this publishing window therefore given a weightage of 50%.
- Total six firm offers were reported this week out of that two from Raipur and the rest four from outside Raipur. All were taken for price calculation and given a weightage of 50%.
Region-wise pellet deals and offers:
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