Last week, P-DRI prices in central India noticed sharp correction of INR 700/MT W-o-W. This led to reduction in pellet buying as well. Current offers for Fe 63% pellets are at INR 4,500/MT (basic).
“We are hardly receiving buying interest at current offers. Prices have already bottomed out but due to low buying interest and constant decline in prices of semi-finished goods, pellet makers are seen reducing their offers”, shared a Raipur based pellet maker.
Pellet market in major parts of eastern India remained closed last week on account of festive season leading to stability in prices. Slight correction was noticed in Jharsuguda pellet prices and are currently around INR 4,000/MT (basic).
Pellet prices in southern India have also fallen and are currently at INR 4,400/MT for Fe 63% pellets in Bellary.
Week 44 Outlook:
- Pellet prices in central & eastern India are likely to remain under pressure amid declining pellet sponge prices
- Jajpur based pellet manufacturer sold limited quantity to Bhushan Steel. However, queries from Chhattisgarh and West Bengal remained quite
- Traders expect pellet prices in Durgapur to fall by INR 100/MT this week
- Central India based pellet buyers strongly negotiating price at INR 4,300/MT (basic), but no deal heard to be concluded yet
- Kandla pellet offers are likely to witness reduction owing to competitive offers of imported South African lump
Indian Pellet Prices as on 26 Oct’15
|
City |
Grade | Prices | W-o-W | M-o-M |
|
(Fe %) |
||||
| Barbil* | 63 | 3,800 | 0 | -200 |
| Keonjhar | 63 | 3,600 | 0 | -300 |
| Jajpur | 63 | 3,700 | 0 | -300 |
| Jharsuguda | 63 | 4,000 | -150 | – |
| Durgapur | 63 | 4,500 | -50 | +100 |
| Raipur | 63 | 4,500 | -200 | -300 |
| Bellary | 62 | 4,400 | -200 | -400 |
Basic prices in INR/MT
* loaded to wagons
Source: SteelMint
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