Pellet prices in India continue to remain under pressure amid limited trading activities.
In Barbil, Pellet prices are at INR 4,700-4,800/MT (loaded into wagons). It is becoming tough for Pellet makers to sustain at current levels. Though, prices of Iron ore fines in eastern India have fallen by upto INR 250/MT, but are still quite high. Continuous decline in prices of Pellet sponge is another factor which is hampering buying of Pellets. Also, limited buying has resulted into increasing stocks of Pellets.
In Central India, Pellet prices are hovering in the range of INR 5,900-6,000/MT (basic). “We have sold Pellets at INR 6,000/MT last week. Declining prices of Pellet sponge continues to impact buying of Pellets. Last week, P-DRI prices in Raipur have fallen by about INR 400/MT. The are possibilities of marginal reduction in Pellet prices in the short run”- shared a Raipur based Pellet maker.
Talking about southern India, prices for Fe 61% Pellets are around INR 5,200/MT. A market participant based in Bellary shared “Weakening demand & oversupply of Pellets in the domestic market has put Pellet prices under pressure. Sponge iron units are either running at lower capacity levels or have shut down their plants.”
Pellet prices in western India are in the range of INR 5,600-5,700/MT (delivered Kandla).
Indian Pellet Prices
|
City |
Grade | Prices | W-o-W | M-o-M |
|
(Fe %) |
||||
| Barbil* | 63 | 4,700-4,800 | -50 | -450 |
| Keonjhar* | 64 | 4,600 | 0 | -300 |
| Raipur | 64 | 5,900-6,000 | 0 | -150 |
| Jamshedpur | 63 | 5,000 | -100 | -500 |
| Durgapur | 63 | 5,400-5,500 | 0 | -200 |
| Bellary | 63/62 | 5,600-5,700 | 0 | -650 |
| Kandla** | 63 | 5,600-5,700 | 0 | -300 |
Basic prices in INR/MT
*as per loaded into wagons
** delivered
NA: Not Available
Source: SteelMint
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