- Demand for semis, finished steel weak
- Sponge prices down INR 200/t d-o-d
BigMint’s billet index dropped further by INR 150/tonne (t) to INR 39,900/t exw-Raipur on 22 May 2025.
Today’s decline was primarily driven by sluggish demand in both semi-finished and finished steel segments. While a few transactions were recorded at lower price levels, the overall lack of support from the finished steel market led to increased caution among participants. As a result, market sentiment turned more bearish, with expectations of further price corrections in the near term.
In Raipur, rebar prices decreased by INR 100/t. Prices of wire rods fell sharply by INR 200/t d-o-d, while those of sponge iron in Raipur decreased by INR 200/t d-o-d.
The conversion spread from sponge iron (PDRI) to billets for the standalone furnaces in the region was at INR 15,700/t.
Rationale
This index is derived based on transactions, offers, bids, and indicative price data sets. Transactions are considered T1 and given a weightage of 50%, whereas other data sets are considered as T2 and given a weightage of the balance 50%.
- Transactions (T1) – Two trades at INR 39,900 – 40,000/t were recorded during the 2:30 pm to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 39,900/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Twelve offers were reported in the trading window and considered as T2 inputs. The average price of these twelve was INR 39,941/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 39,920/t exw-Raipur, rounded off to INR 39,900/t exw.
Click here for detailed methodology
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