Indian Pig iron trades remains quiet this week. Market participants are expecting further price corrections in domestic pig iron prices.
Increased supply of Pooled iron & pig iron by steel biggies are pressuring trade prices. Pig iron manufacturers from secondary market also mentioned the same, Buyers are not willing to buy at current offers as falling MS Ingot/billet prices forcing them to meet CPC or Pooled iron instead of Pig Iron. Ingot/billet prices in this week reduced by INR 100-300/MT.
Pig iron price is higher by around INR 3,000/MT as compared to prices of Pooled iron or CPC.
Trade Highlights
1. Atibir Industries from Giridih, Jharkhand has reduced offers by INR 400/MT to INR 17,600/MT ex-plant. Usha Martin heard to offer at INR 17,000-17,200/MT ex-plant, Jamshedpur.
2. Neo Metaliks based in Durgapur keep offers unchanged at INR 17,500-17,600/MT for steel grade and for foundry grade at INR 22,500/MT. The plant is providing discount on bulk purchasing, sources confirmed.
3. Trade sources reported, Tata Steel is offering Pooled iron at INR 14,800/MT and Ferro shots at INR 18,000/MT, ex-plant, Kalinganagar (extra discount on bulk purchase)
4. Raigarh based Jindal Steel’s offer remains stable at INR 19,300/MT, ex-plant. Jindal is mostly selling material to local market.
5. Traders based in Raipur are offering Neelachal Ispat Nigam Ltd (NINL) Pig iron at INR 19,100-19,200/MT FoR Raipur (Including CST & Freight, ED excluding)
6. Jayaswal Neco Industries offers heard at INR 19,500/MT ex-plant, Raipur.
7. Sesa Goa keeps offers unchanged for steel grade material at INR 19,500/MT FoR Hyderabad (Including CST & Freight, ED excluding)
8. Offers in north India, Ludhiana fall to INR 23,000/MT (steel grade) and INR 26,100-26,200/MT for foundry grade material. Trade sources reported pig iron is available here in bulk quantities, while buyers are not preferring bulk purchasing.
Steel grade Pig iron Prices as on 10 Jun’16
| Particulars | Currency | Prices | W-o-W | M-o-M | Q-o-Q |
| Ex-Cuttack | INR/MT | 17,800 | -700 | -1,400 | – |
| Ex-Cuttack(NINL) | INR/MT | 17,900 | -600 | -1,300 | -100 |
| Ex-Durgapur | INR/MT | 17,400 | -350 | -1,450 | -1,600 |
| Ex-Giridih | INR/MT | 17,600 | -500 | -900 | – |
| Ex-Hyderabad# | INR/MT | 19,500 | -1,050 | -2,200 | 1,500 |
| Ex-Ludhiana# | INR/MT | 23,000 | -600 | -1,200 | 500 |
| Ex-Raigarh | INR/MT | 19,300 | -700 | -1,150 | -500 |
| Ex-Raipur | INR/MT | 19,450 | -1,100 | -1,650 | -800 |
| Ex-Rourkela | INR/MT | 17,700 | -700 | -2,300 | – |
| Ex-Vizag | INR/MT | 19,500 | – | – | 2,700 |
| FOB Brazil | USD/MT | 270 | 0 | -5 | 75 |
| FOB India | USD/MT | 255 | -12 | -25 | 60 |
| FOB Russia | USD/MT | 260 | -7 | -30 | 55 |
Basic prices, #delivered and including CST & freight
Source: SteelMint Research
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