Domestic billet market sentiments remain bullish as prices further rally in spot market this week. Major demand seen in North, East and West India market. Participant cited major reason for price hike are:
1. Rise in HR coil price push alternative Patra demand in North India. “Demand of Billet in domestic market surge due to increase production of Patra as its demand increases in Ludhiana, and near NCR” said local billet manufacturer, Presently Patra offer is INR 29,500 (Ed/VAT extra) whereas HR coil offer at INR 31,000/MT (ED/VAT extra).
2. Demand of wire rod post MIP remain high in west & east India. Rebar manufacturers also reported better demand.
3. Hike in transport fare from East to North India: Freight from Durgapur to Gobindgarh were at INR 2,400-2,500/MT last week that rose to INR 2,600-2,700/MT
Billet Prices as on 03 feb 2016
| Particular/Delivery | Prices | D-o-D | M-o-M |
| Ex-Mandi Gobindgarh | 26,500 | + 200 | + 2,900 |
| Ex-Durgapur | 22,500 | + 300 | + 1,500 |
| Ex-Kolkata | 22,900 | + 300 | + 1,500 |
| Ex-Rourkela | 21,800 | + 600 | + 2,300 |
| Ex-Raigarh | 22,600 | + 400 | + 2,100 |
| Ex-Raipur | 23,000 | + 400 | + 2,200 |
| Ex-Bhavnagar | 25,000 | + 600 | + 2,400 |
| Ex-Goa | 22,200 | 0 | + 1,100 |
| Ex-Jaipur | 24,900 | + 500 | + 2,050 |
| Ex-Jalna | 24,300 | + 300 | + 1,350 |
| Ex-Mumbai | 24,500 | + 400 | + 1,800 |
| Ex-Chennai | 24,900 | 0 | + 2,700 |
| Ex-Hyderabad | 24,500 | + 500 | + 2,000 |
Basic prices in INR/MT
Source: SteelMint Reasearch
Leave a Reply