Major pellet makers in Durgapur which had kept their domestic sales closed over better export realization have resumed offering material in domestic market. Presently offers are seen in the range of INR 3,700-3,900/MT (basic).
“Though Durgapur P-DRI prices have moved up sharply last week over limited pellet availability in domestic market. But this week buying sentiments have weakened, shared a Durgapur based pellet maker”.
Jharsuguda based pellet offers have moved up by INR 400/MT W-o-W to INR 3,800/MT (basic). It looks that domestic pellet prices in eastern India are increasing on limited sellers in domestic market. Barbil pellet makers namely JSPL and Arya Iron & Steel are still not heard giving offers for domestic market and are going for exports.
Raipur pellet makers raise offers to INR 4,100/MT
Pellet offers in Raipur have moved up by INR 100/MT W-o-W and are currently seen hovering in the range of INR 4,100/MT (basic). Market sources shared that owing to monsoons iron ore dispatches have been affected following which pellet offers have moved up, however no significant improvement in demand has been noticed.
Southern India pellet market remains stable
Amid subdued demand from pellet sponge manufacturers and stable P-DRI prices (presently at INR 11,700/MT ex-works for 78 FeM), pellet offers in Bellary continue to remain unchanged. Presently offers for Fe 63% are hovering in the range of INR 4,175-4,350/MT (basic).
Indian Pellet Prices as on 23 Aug’16
|
City |
Grade | Prices | W-o-W | M-o-M |
|
(Fe %) |
||||
| Barbil* | 63 | No offers | – | – |
| Jharsuguda | 63 | 3,800 | +400 | +550 |
| Jamshedpur | 63 | No offers | – | – |
| Durgapur | 63 | 3,700-3,900 | 0 | +500 |
| Raipur | 63 | 4,100 | +100 | +250 |
| Bellary | 63 | 4,175-4,350 | -50 | +50 |
| Kandla** | 63 | 5,450 | 0 | +300 |
Basic prices in INR/MT
* loaded to wagons
**delivered
Source: SteelMint Research
Trade-wise:
1. MSPL offers for Fe 65% pellets are at INR 4,900/MT (basic).
2. Bilaspur based pellet maker – Rashi Steel & Power sold around 4,000 MT pellets at INR 3,950/MT (ex-Bilaspur) last week. Current offers are assessed at INR 4,000/MT (ex-Bilaspur).
3. A Raipur based pellet maker has supplied around 5,000-7,000 MT pellets to Maharastra based sponge maker last week at INR 4,000/MT (basic). Present offers are at INR 4,100/MT (basic).
4. Pellet offers of Rourkela based Mahavir Ferro Alloys is at INR 3,400/MT (basic).
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