SteelMint’s billet index increased by INR 150/t to INR 46,900/tonne (t) exw-Raipur on 18 February, 2023.
The index inched up on trades at high prices. Demand for semis and finished long steel remained subdued. Prices in north India showed an improvement which further supported the rise in billet prices.
Transactions of around 1,000 t were recorded today in Raipur as against 3,400 t on 17 February.
The conversion spread of the standalone furnaces in Raipur from sponge iron (PDRI) to billets decreased marginally by INR 100/t d-o-d to INR 14,750/t.
Rationale-
This index has been derived based on transactions, offers, bids and indicative price data sets. Transactions are considered as T1 and given a weightage of 50% whereas other data sets are considered as T2 and given a weightage of the balance 50%.
- Transactions (T1) – Two trades at INR 46,800/t was recorded during the 11:30 am to 3:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 46,800/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Twelve offers reported in the trading window and considered as T2 inputs. The average price of these twelve was INR 47,000/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 46,900/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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