SteelMint’s daily steel billet index was assessed at INR 46,100/tonne (t) exw-Raipur on 27 March, 2023, an increase of INR 100/t.
Positive sentiments in the Raipur market following the rally in billet prices in north India pushed prices higher. However, spot trade volumes fell to 3,800 t today as against 5,100 t on 24 March.
SteelMint’s daily price assessments for rebar and wire rods remain stable, while sponge iron prices fell by INR 300/t d-o-d in Raipur.
Around 3,350 t of wire rod and 2,800 t of rebar deals were concluded today.
With rising billet prices and the slowdown in sponge iron offers, the conversion spread of the standalone producers from sponge PDRI to billets rose further by INR 400/t to INR 15,600/t in Raipur.
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) – Eight trades at INR 46,000-46,300/t was recorded during the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 46,108/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Five offers reported in the trading window and considered as T2 inputs. The average price of these five was INR 46,100/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 46,104/t, rounded to INR 46,100/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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