India’s pellets production totalled 6.5 mnt in November, 2022, which increased 4% m-o-m as against 6.3 mnt in October, SteelMint’s data revealed. Production volumes have rebounded after hitting lows of 5.7 mnt in June amid export duty impact.
Steel major, AM/NS India emerged as the leading pellets producer in November, 2022 at nearly 1 mnt, followed by JSW Steel at 0.9 mnt and JSPL at 0.6 mnt, respectively.
Pellets trades improve despite hike in offers in Nov’22 – SteelMint’s pellet index, PELLEX, inched up by 1.2% m-o-m to INR 8,040/t DAP Raipur in November. Pellets trade volumes have also shown a recovery in November, 2022.
India’s domestic pellets market saw a whopping 120% m-o-m rise in trade volumes to 761,350 tonnes (t) in November 2022 compared to 346,300 t in October, as per SteelMint data. The surge in trade volumes resulted from the decline in pellets prices at the beginning of November and later due to some panic selling in the domestic market post-export duty withdrawal by the Indian government on 19 November.
Jan-Nov’22 pellets production inch up – However, production over January-November, 2022 recorded at 71.1 million tonnes (mnt), rose by 1.5% seen in the corresponding period in 2021.
Steel major AM/NS India emerged as the leading pellets producer in January-Novemver, 2022 at nearly 12.6 mnt, followed by JSW Steel at over 10.1 mnt and JSPL at 7 mnt.
As per SteelMint’s estimates, India’s pellets capacity rose to around 120 mnt. The integrated steel plants in the country are the major producers and captive consumers of pellets. Capacity-wise, JSW Steel (including subsidiaries) tops the list followed by AM/NS India at 20 mnt, JSPL at 10 mnt, while Tata Steel has a capacity of around 7 mnt.
The country recorded production in FY22 in excess of 77 mnt, of which around 11 mnt was exported.
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