Indian Pig Iron market waits for NINL prices

NINL extends date of EOI for Pig iron till 22 Jun’15; which was suppose to open today, 16 Jun’15.

Neelachal Ispat (NINL) which is one of the largest Pig iron producer and exporter in India, has extended the submission date for Expression of interest for purchase of Pig iron.

Adding to it, NINL’s Pig iron offers for domestic market has expired on 12 Jun’15, which has further increased the curiosity of the market to know about Neelachal’s offers.

Currently, Pig iron market in India is fixed with continued low demand. Offers remained unchanged, as the manufacturers are waiting for NINL to open its offer and secondly, power-issues in few states have terribly disturbed the production of furnaces.

Well, offers for Pig iron in major markets have remained stable in the range of INR 17,000-19,000/MT, on ex-plant basis. However some markets noticed a downfall of INR 100-200/MT.

Manufacturers in West Bengal are offering steel grade at INR 17,300-17,500/MT (ex- Works), whereas manufacturers based in Raigarh (Chattisgarh) hold offers at around INR 18,200/MT and Raipur at INR 18,900/MT on ex-plant basis.

Power-cut affects Pig Iron sale

Power issues in Central India & other parts of country has resulted in noticeable fall in Ingot/Billet production. As a result, it has led to fall in demand of Pig iron along with other raw-material (sponge & scrap).

Trade wise

1. SAIL-RSP extends offers for Pig iron at INR 17,500/MT, ex-works with INR 400/Mt discount till 20 Jun’15.
2. Low Silicon is offered at INR 19,500-19,800/MT, ex-works in few plants of Durgapur
3. Electrosteel delivers steel grade Pig iron to plants in Duragpur at INR 17,500/MT.
4. Pooled iron sold at INR 15,800/MT, ex-Jamshedpur; base price was INR 15,600/MT
5. 3 rakes of IISCO’s MoG grade booked at INR 17,050/MTex-plant by Indian Foundry Association, Kolkata.
6. Raigarh based manufacturer offers discount of INR 200/MT in bulk purchase of Pig iron
7. Raipur based manufacturer offers discounts of INR 100/MT on bulk purchase; sold at INR 18,800/MT, basic prices.

Source: SteelMint Research