Spot trades in the Indian secondary steel market remained dull today and the prices have dropped by up to INR 700/t ($9) d-o-d basis.
The extension of lockdown in several states has affected steel demand in the country. Also, the recent order by the ministry to not supply oxygen to steel plants has also affected steel production, especially in Central, South & Western regions. Plants are gradually shutting down with liquid oxygen stocks with them are getting over.
As per SteelMint’s assessment, the domestic billet market has noticed a fall in prices by INR 200-700/t except in the Northern region (Mandi, Gobindgarh) where offers have increased by INR 200/t. Meanwhile, sponge iron offers have declined by INR 100-400/t in the major markets.
The rebar prices have also dropped by INR 100-500/t across the major locations, while a slight hike was recorded in Mandi Gobindgarh & Chennai by INR 100-300/t respectively.
Semi Finished
- Induction grade billet export offers drop to around $545/t exw Durgapur, equivalent to $570-575/t CPT Nepal.
- Neo Metaliks has kept steel grade pig iron offers firm at INR 38,500/t exw, however no major deals, as per officials.
- Sponge P-DRI offers further drop in Raipur due to weak demand on curtailed furnaces/hot rolling mills production. The plants have floated offers at INR 28,800-29,000/t, however a few bids reported at INR 28,700-28,800/t on FoR basis.
- Jajpur based, Visa Steels concluded deals of around 500 t steel grade pig iron in local region at INR 38,400/t exw.
- Ind Synergy (Raigarh) offered P-DRI at INR 28,400/t & billet at INR 40,500/t exw.
- BMM Ispat offered FeM 80 P-DRI lumps at INR 28,000/t exw Bellary
Rebar (12 mm)
- GK TMT kept offers stable at INR 49,000/t exw Raipur.
- Shrishtii TMT offers reported at INR 46,000/t exw Raigarh (Down by INR 600/t).
- Metalics 550D TMT offers reported at INR 47,500/t exw Sambalpur.
- Swarup TMT is offering at INR 46,600/t exw Muzaffarnagar. (Down by INR 400/t).
- Brahma TMT offers stable at INR 45,000/t exw Durgapur.
- Mono TMT is offering at INR 50,300/t FoR Ahmedabad (Down by INR 500/t).
- Polaad TMT offers unchanged at INR 50,200/t exw Jalna.
- VRKP TMT offers reported at INR 49,900/t exw Banglore.
Wire Rod and Structure
- Mid scale mills wire rod export offers reported at $610-615/t exw Durgapur, equivalent to $640/t CPT Nepal.
- Trade discounts in Raipur wire rod is reported at INR 1,200-1,400/t & base offers drop by INR 800/t to INR 46,200/t exw. Meanwhile, trade reference price in Durgapur stable at INR 45,200-45,400/t exw.
- Raipur based heavy structure steel manufacturers, kept stable the base price of 150 mm channel at INR 47,200/t, and given trade discount at INR 1,300-1,600/t, current trade reference price of 200 mm angle is at INR 48,600-49,000/t exw.
Reference prices as on 26th Apr’21
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