Week 52 concluded with recovery note as Indian semi finish prices across major markets jumped by INR 300-900/MT. The gain in prices is supported by improvement in demand from finished steel market coupled with anticipated imposition of MIP on steel products.
Sponge iron prices moved up by INR 200-400/MT and billet by INR 500-900/MT in domestic market. In addition, Pig iron prices gain of INR 200-500/MT across major markets.
Week 52 highlights
1. 78-80 FeM sponge iron prices assessed in Durgapur at INR 12,700/MT (+250), Rourkela at INR 12,050/MT (+400), Raipur at INR 13,600/MT (+450) and Bellary at INR 12,600/MT (+400).
2. P-DRI prices hovered in the range of INR 11,700-12,400/MT in domestic market.
3. Billet price in Durgapur at INR 20,950/MT (+550), Rourkela at INR 20,500/MT (+600), Raipur at INR 22,000/MT (+700), Mumbai at INR 23,650/MT (+950) and Hyderabad at INR 23,750/MT (+750).
4. Odisha based miner, AMTC resumed iron ore sales after 18 months.
5. Iron ore offers for 5-18 mm (Fe 63%) stood at INR 2,050/MT and fines (Fe 63%) at INR 1,250/MT (ex-mines, including royalty).
6. Pellet offers in Raipur moved up to INR 4,300/MT due to increase in P-DRI prices.
7. Imported scrap prices remained at the same level of USD 190-195/MT for HMS and USD 205-210/MT for shredded scrap. However, purchase for domestic scrap had increased.
Week 53 prospects
1. Semi finish prices are likely to be volatile in near term.
2. Imported scrap offers may remain stable till Jan’16 due to pre-stocking amid winter season.
3. PMO office may take decision regarding MIP to curtail rising steel import to India.
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