Indian billet and bloom export tender of 70,000 MT by Vizag Steel has received cold response. Only one participant had bid for bloom, whereas, no bids were received for billet.
State owned steelmaker, Vizag Steel had floated an export tender of 40,000 MT bloom and 30,000 MT billet, which expired yesterday. Participants confirmed that global trading company, Duferco was the only participant for bloom, whereas billet failed to receive bids. Prices are not disclosed yet.
Last tender concluded by Vizag Steel was assessed at USD 371/MT FoB for bloom and USD 395-400/MT FoB for billet in the month of Apr’15, for which shipments were to be made in June.
Chinese Billet Offer Falls Further
Consistently declining billet offers from Chinese exporters remain a major concern for global steel market. Current offers for Chinese bloom (150*150 mm) are assessed at USD 335-340/MT, CFR India and billet (125*125 mm) at USD 345-350/MT, CFR India & Bangladesh.
Bangladesh, a major billet importer has slowed down purchases owing to hike in import duty and sufficient inventory levels.
Looking at current scenario, market is speculating Vizag Steel to cut bloom prices for July deliveries, although the offers were unchanged at INR 24,700/MT (ex-works) during June.
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