SteelMint’s billet index increased by INR 150/t to INR 46,100/tonne (t) exw-Raipur on 29 March, 2023.
Sellers kept offers on the higher side. Positive demand was seen in the semi-finished and finished long steel markets, although prices of finished long steel remained stable. Bullish trends in the northern region kept prices supported.
Transactions of around 1,800 t were recorded today in Raipur as against 3,200 t on 28 March.
SteelMint’s daily price assessment for sponge iron decreased by INR 100/t, while rebar and wire rod prices remained unchanged.
Around 1,700 t of wire rod deals were recorded today against 2,000 t yesterday. Around 1,600 t of rebar transactions were tracked in Raipur today against 1,100 t yesterday.
The conversion spread of the standalone furnaces in Raipur from sponge iron (PDRI) to billets was recorded at INR 15,850/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) – Three trades at INR 46,000-46,100/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 46,094/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Seven offers reported in the trading window and considered as T2 inputs. The average price of these seven was INR 46,090/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 46,092/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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