Indian DRI, billet and rebar update – 3 Aug

The Indian secondary steel market witnessed mixed sentiments on 3 Aug’21 and prices fluctuated in the range of INR 100-700/tonne (t) d-o-d.

As per SteelMint assessment, Indian sponge iron prices increased by INR 100-300/t in most of the major markets. However, domestic billet offers declined by INR 100-700/t in many regions with a major drop of INR 700/- noticed in Mandi Gobindgarh. Markets like Mumbai and Chennai saw billet prices moving up slightly by INR 100/t, though.

Induction furnace route re-bar prices decreased by INR 100-400/t; however, a major hike of around INR 100-300/t was witnessed in Mumbai and Bangalore.

Trade activities were limited today following price corrections in the northern region. Market participants are optimistic on strong export demand as well sufficient orders with suppliers, not to forget the expected rise in prices by the primary steel mills.

Semi finished

• Induction grade (IF) billet export offers stood at $580-585/t, exw-Durgapur (equivalent to $610/t CPT Nepal).
• Sponge P-DRI prices in Raipur up by INR 100/t & trades reported at around INR 30,800/t exw & FoR Raipur.
• Neo Metaliks in Durgapur has kept steel grade pig iron offers stable at INR 39,200/t exw.
• Jharsuguda, Odisha based sponge supplier offered FeM 80 P-DRI at around INR 30,900/t FoR Raipur.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 29,500/t exw Bellary.
• BIOP Steels in South India has sold around 500 t FeM 80 C-DRI lumps in nearby market at INR 30,800/t exw Bellary. Later on offers increased to INR 31,000/t exw.

Rebar (12 mm)

• GK TMT (Fe 500D) offers unchanged at INR 48,300/t exw Raipur.
• Shrishtii TMT offers reported at INR 45,800/t exw Raigarh.
• Rathi Stelmax TMT is offering at INR 48,000/t exw Delhi/NCR (Down by INR 500/t).
• Swarup TMT offers reported at INR 47,200/t exw Muzaffarnagar.
• Mono TMT offers stable at INR 50,000/t FoR Ahmedabad.
• Polaad TMT kept offers stable at INR 48,700/t exw Jalna.
• Brahma TMT offers reported at INR 45,500/t exw Durgapur.
• ARS TMT(Fe 550D) offer reported at INR 52,100/t exw Chennai.

Wire rod and structure

• Mid scale mills wire rod export offers hovering at $620/t exw Durgapur, equivalent to $645-650/t CPT Nepal, via road delivery.
• Trade reference wire rod prices in Raipur fell by INR 200/t to INR 46,500-46,700/t exw, due to increase in trade discounts. Also, assessment prices in Durgapur fell by INR 300/t to INR 45,800-46,000/t exw.
• Heavy structural steel, base price of 150 mm channel offers stable at INR 47,600/t in Raipur with firm trade discount of INR 700-900/t. Trade reference price of 200 mm angle is at INR 49,600-50,000/t exw.

Reference prices as on 3rd Aug’21