Sponge Iron continue to slip down as Pig Iron and Iron ore price stable

Indian Sponge price continue to remain low over production cut by furnaces in central and eastern part. Earlier also due to hike in power price and increase availability of sponge pellet, sponge prices were corrected by Rs 400-700/mt. 

Presently Sponge prices in Raipur is trading at Rs 18,500-700/mt that was in the same period last year trading at Rs 23,400/mt. 'Sponge prices are now in buyer's hand, as sponge pellet availability has increased from big manufacturer. Earlier due to Sponge Iron shortage price were stable' said Sponge Manufacturer based in Raipur. He also added Sponge Iron price is down by Rs 700-1100/mt in contrary to Pig iron and Iron ore prices that is constant from April month. 

SteelMint assessed Sponge pellet is available at discount of Rs. 1200-1500/mt from Sponge Iron, as Raipur Sponge pellet is quoting at Rs 17200-17,500/mt as compare to Sponge Iron Rs 18400-18,600/mt. Similarly in Bellary Sponge Iron is available at Rs 18,300-500/mt and Sponge pellet at Rs 17,000/mt.