Pig iron manufacturers in east & central India have further raised their offers by INR 200-500/MT. Industry experts mentioned that boost in export, rising coking coal prices and increased domestic demand amid scrap shortage are providing support to Pig iron offers.
NINL, which considered as a price trend decider in Indian market, also raised its offers in the current month by INR 500/MT to INR 16,400/MT ex-Cuttack, Odisha last week. It seems that the manufacturer is also pack with domestic & global bookings.
In the current month, export touched over two fold. There are three vessels of bulk quantities in pipeline. Out of which, two vessels of 15,750 and 21,000 MT have been already shipped by MMTC (NINL) and Vedanta respectively. Another one vessel of Sail carrying 18,000 are yet to be shipped from haldia port on 30-31 Aug’16, as per customs data.
Pig iron export since Jan’16
| Month | Quantity |
| Jan’16 | 34,341 |
| Feb’16 | 566 |
| Mar’16 | 1,161 |
| Apr’16 | 1,373 |
| May’16 | 10,627 |
| Jun’16 | 1,486 |
| Jul’16 | 23,493 |
| Aug’16 | 54,750 (E) |
E: Estimated
Source: Customs Data, SteelMint Research
Trade highlights
1. Traders in Raipur are offering Pig iron at INR 17,700/MT on regular payments (15-20 days) basis. However, Jayaswal Neco Industries based in the same market has yet not declared its fresh offers. An official from Neco Industries mentioned that fresh offers will be declared with a price rise of around INR 300-500/MT due to shortage of material.
2. Raigarh based Jindal Steel has increased offers by INR 400/MT to INR 17,200/MT ex-plant.
3. Neo Metaliks in Durgapur has raised offers by INR 200/MT to INR 17,200-17,300/MT.
4. Atibir Industries offers has moved up by INR 500/MT to INR 16,600/MT ex-plant, Giridih.
5. Steel grade offers in Ludhiana are assessed at INR 21,500/MT and foundry grade at INR 24,500/MT FoR, including CST & freight; excluded 12.5% ED.
6. Offers firm in Hyderabad at INR 18,200-18,300/MT, FoR (including CST & freight; excluded 12.5% ED). JSW, Vedanta Resources and few other producers in south region are offering material at the same price.
7. As per sources, JSW Steel is offering steel grade material at INR 16,300/MT ex-Dolvi, Maharashtra.
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