Domestic semi finish market has gained strength in a day by INR 200-500/MT against yesterday closing. Anticipated imposition of Minimum Import Price (MIP), seasonal trend and low finished steel inventory at stockiest amid improved buying sentiments have supported this price hike.
Today, billet prices have jumped by INR 300-500/MT and sponge by INR 150-500/MT across major markets. Major hike in sponge prices is seen in Durgapur (+500) and Raipur (+400).
Earlier in Nov’15, semis prices had hit an all time low level of INR 19,050-19,100/MT for billet, which is now at the level of INR 22,500-24,000/MT. For sponge, 80 FeM C-DRI, prices had touched the lowest level of INR 12,200-12,300/MT, which have now reached at INR 13,000-13,500/MT.
Post announcement of safeguard duty, MIP and BIS stringent norms, prices started to pick up; providing relief to semi finish makers. This in turn has cleared all the inventory levels, leading to improvement in buying activities.
It is also heard from market sources that SAIL is likely to surge its finished long and flat steel prices by INR 700-1500/MT for Jan’16 deliveries.
Current semis prices with D-o-D changes
| Particular | Ingot | D-o-D | Billet | D-o-D | C-DRI | D-o-D |
| Ex-Mandi Gobindgarh | 25,050 | +100 | 25,100 | 0 | 15,500 | 0 |
| Ex-Durgapur | 21,850 | +250 | 22,150 | +300 | 13,500 | +500 |
| Ex-Rourkela | 20,900 | +300 | 21,350 | +350 | 12,200 | +200 |
| Ex-Raipur | 22,000 | +100 | 22,600 | +100 | 13,900 | +400 |
| Ex-Mumbai | 23,600 | +200 | 23,900 | +300 | – | – |
| Ex-Chennai | 22,250 | 0 | 22,700 | 0 | – | – |
| Ex-Hyderabad | 24,000 | +500 | 24,000 | +500 | 12,900* | +150* |
Prices in INR/MT
*ex-Bellary prices
Source: SteelMint Research
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