Indian steelmakers, who are continuously battling against rising Rebar imports from China as well as high raw material prices and lower sales price of produced material, are bounded to run their plants at below 70% capacity.
Post sharp price correction of INR 1,200/MT made by the India’s largest Pig iron producer NINL, demand of the material has fallen in the domestic market. This has bounded manufacturers to correct their offers. It is expected that prices may correct further in coming week from the current levels of INR 22,700-23,800/MT (ex-Raigarh & ex-Raipur), stated an official person of largest Pig iron producing company based in Raigarh.
SteelMint in conversation with Sponge manufacturers based in central & southern regions assessed, ‘’Selling pressure on Sponge iron is increasing gradually because of production cut by some induction operators as well as down imported Scrap prices has increased consumption of Scrap over Sponge iron.”
In future prospect, market players are of the view that market will remain volatile by INR 500/MT in coming days.
MS Ingot Prices with Remarks
| Region | Market | Price | Weekly Change | 1-month Change | 3-month Change | Remarks |
| North India | Mandi Gobindgarh | 31,500 | + 50 | – 1,300 | – 2,400 | Steelmakers ended strike on tax policy as Punjab government assured them to fulfill their demand |
| Ghaziabad* | 31,000 | 0 | – 700 | – 1,800 | Rolling mill operators called for strike on high power charges |
|
| Muzaffarnagar | 30,900 | – 100 | – 750 | – 1,500 | ||
| East India | Rourkela* | 27,450 | 0 | – 1,000 | – 1,900 | Selling Sponge iron (79 FeM) at INR 20,500-20,600/MT (delivered to Raigarh) in bulk quantity as local manufacturers are offering the same material at INR 20,700/MT ex-plant |
| Durgapur | 29,000 | + 300 | – 600 | – 1,400 | Semi finish manufacturers running plant upto 60-70% capacity level | |
| Kolkata | 29,300 | + 300 | – 600 | – 1,400 | ||
| Central India | Raipur* | 27,550 | – 450 | – 1,250 | – 2,450 | MS Billet supply to Mandi increases. Some deals concluded at INR 28,000-28,300/MT for Mandi Gobindgarh; freight assessed at INR 2,500/MT |
| Raigarh | 28,100 | – 150 | – 1,150 | – 2,250 | ||
| West India | Mumbai* | 29,900 | + 600 | – 600 | – 1,500 | Sales of Rebar slightly improved since last couple of days with increase in MS Ingot/Billet prices by INR 300-400/MT in last 3 days |
| Ahmedabad | 29,000 | + 1,000 | – 600 | – 1,950 | Scrap & MS Ingot/Billet prices inched up after a long time with improvement in sales |
|
| South India | Hyderabad | 29,200 | -100 | – 800 | – 1,800 | Semi finish prices continues to decline on the backdrop of stagnant sales of finished Long and falling Imported Scrap prices |
| Chennai | 28,600 | – 800 | – 2,550 | – 2,800 | ||
| Bangalore | 29,000 | – 250 | – 1,350 | – 2,200 |
Basic prices in INR/MT; ex-works
*Next day/advance payment; rest for regular payment
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