- Weak demand for semis weighs on spot offers
- Finished steel prices drop INR 300/t in Raipur
BigMint’s daily billet index fell by INR 200/tonne d-o-d, settling at INR 36,600/t exw-Raipur on 29 August 2025. The decline can be attributed to subdued demand, lower enquiry volumes, and cautious buyer participation, which continued to pressure spot offers.
The Indian billet market extended its downtrend over the last two sessions, with slipping by a cumulative INR 400/t in Raipur, pressured by weak downstream demand and muted trading activity. Weak finished steel demand led buyers to hold off their bids at lower levels, compelling sellers to reduce offers in order to stimulate trades.
Market Highlights
- Weak trading activity: Spot offers came under sustained pressure as sellers trimmed prices to stimulate trades, but buying remained confined to need-based procurement.
- Cautious sentiment: Ongoing weakness in finished steel markets discouraged bulk bookings, with participants adopting a wait-and-watch approach.
- Finished steel trends: Wire rod prices in Raipur declined by INR 300/t d-o-d, while rebar prices remained stable, signaling lacklustre demand.
- Sponge iron: Prices in Raipur fell marginally by INR 50/t, weighed down by limited buying interest and weak fundamentals.
The consistent weakness across both semi-finished and finished steel segments continues to pressure billet offers, with buyers largely staying on the sidelines. Unless demand revival signals emerge particularly from the finished steel segment.
The conversion spread from PDRI to billets for standalone induction furnaces in the Raipur cluster was assessed at INR 13,450/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) – One trades at INR 36,600/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 36,600/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Fifteen offers were reported in the trading window and considered as T2 inputs. The average price of these fifteen was INR 36,644/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 36,622/t exw-Raipur, rounded off to INR 36,600/t exw.
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