Steel Authority of India Limited (SAIL) had conducted an auction from its Bhilai Steel Plant (BSP) in Chhattisgarh for defective steel products on 26 Nov’21. The bid prices for steel blooms dropped by INR 1,700/t ($22/t) against the previous auction conducted on 17 Nov ’21. The drop in bid prices was largely in line with the decline in spot prices brought on by the fall in sponge iron prices as well as weaker steel demand.
Buyers actively participated and booked around 15,722 t of bloom-cc out of the total offered quantity of 16,222 t at a weighted average price of INR 36,700/t exw.
In a recent update received from sources, the company’s management has approved all the booked lots.
A total of 30,731 t of defective steel had been put up for auction out of which only 59.09 %, ie, 18,160 t of the material, got sold, while 12,571 t remain rejected by company’s management on higher price expectations.
SteelMint’s daily billet index was assessed at INR 41,200/t exw-Raipur on 26 Nov’21. Limited buying interest in the finished steel market has put further pressure on billet prices. Furthermore, the index fell to almost a one -month low on 26 Nov’21.
Highlights:
Quantity in t
Prices in INR/t on exw-Bhilai basis
For complete details of all other products, please click here->BSP auction summary auction dtd 26 Nov’21
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