Sharp fall in global Pig iron prices, hit Indian export market.
MMTC issued a 40,000 MT Pig iron export tender on 25 Jun’15 but failed to receive any response from the global market. The tender expired on 16 July’15.
According to sources, MMTC could not receive any participation for the export tender.
Sharp fall of USD 20/MT in global Pig iron prices within a week’s time has badly hit Indian export market. Pig iron offers in CIS nations, which were USD 255/MT a week ago have fallen to USD 235-240/MT, FoB Black Sea.
Whereas Indian export levels those were accessed at USD 257/MT, FoB in RINL export tender, fell to no participation this time. However, an export tender on 16 Jun’15 by MMTC was settled at USD 264/MT FoB India.
Market participants believe that sharp fall in scrap offers along with cheaper Chinese billets, have disturbed the Pig iron market across the globe. It has shifted the interest of electric arc furnaces at various markets, from Pig iron to Scrap. Current offers for Pig iron in CIS nations are at USD 235-240/MT FoB Black Sea, whereas, imported scrap are at USD 220-225/MT, CFR Turkey.
Moreover, offers for Chinese billet are at USD 280-290/MT FoB China and USD 320/MT CFR Black sea.
NINL may cut Pig iron prices
Prices of Pig iron in domestic (Indian) market is about to decline further along with MMTC Pig iron price. Failure in export tender along with sharp price cut by SAIL-RSP by INR 500/MT, will put pressure in NINL (MMTC) domestic offers. Demand for steel in domestic market also doesn’t seems to improve, which is another chief reason for anticipation of price-fall in future.
[su_note note_color=”#e0e0e1″ text_color=”#0b0a0a”]MMTC issues fresh export tender for Pig iron
MMTC has invited global tender for export of 40,000 MT (30,000 MT firm lot and 10,000 MT optional lot) basic grade of Pig iron for interested overseas buyers. The last date of submission of tender is 11 Aug’15. [/su_note]
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