Monthly pellet exports from India have hit highest since Apr’13 and crossed 800,00 MT mark in Sept’16. Indian Pellet export has registered a growth of 7.6% M-o-M due to high pellet premium and increased Chinese demand for Indian pellets.
In Sept’16, Indian pellet exports were registered at 802,370 MT against 745,400 MT in the month of Jul’16. However, on Y-o-Y basis, pellet exports has shown tremendous growth as only 75,000 MT pellets were exported in Sept’15.
Spot Pellet premium has become a point of attraction for Indian pellet exporters as it has shown a remarkable growth. Premium which used to be around USD 10-11/MT for Fe 65% BF grade pellet a year earlier, is not calculating at around USD 30/MT, which is giving better realization to Indian pellet exporters.
Another factor supporting Indian pellet exports is growing Chinese demand due to Samarco’s disruption. Brazilian Samarco, a key pellet exporter to China, whose pellet operation had been suspended owing to dam disruption has given an excellent opportunity for pellet exports.
In addition, since Chinese steel makers have been chasing high-grade ore to meet environmental standards, a strong demand for pellets is created, thereby letting Indian pellet exporters to increase exports.
It is to be noted that, India is the largest pellet exporter to China and have exported around 78% (2.3 MnT) pellets to China in FY17 (till Sept’16). In FY16, pellets exports were recorded at 0.83 MnT.
Indian pellet exports in the first six months of FY17 was recorded at 2.7 MnT against 0.6 MnT during the same period in FY16. Looking towards the growing demand and export potential, it is anticipated that Indian pellet exports may reach to 4 MnT in FY17.
Indian pellet exports in Sept’16
| Date | Shipper | Vessel Name | Quantity | Prices | Loading Port | Destination Country |
| 2 Sep’16 | JSPL | Union Explorer | 29,400 | 83 | Paradip | China |
| 8 Sep’16 | JSPL | Loch Crinan | 51,000 | 76 | Paradip | China |
| 9 Sep’16 | Rashmi Metaliks | Trang An 05 | 11,000 | 74.5 | Haldia | China |
| 11 Sep’16 | BRPL | Aramis | 54,000 | 75 | Paradip | China |
| 15 Sep’16 | Rashmi Metaliks | Shaighai Bulker | 21,000 | 71.1 | Haldia | China |
| 17 Sep’16 | Rashmi Metaliks | Shanghai Bulker | 33,000 | N/A | Dhamra | China |
| 19 Sep’16 | BRPL | Heilan Equilibrium | 55,250 | 81.5 | Paradip | China |
| 23 Sep’16 | Rashmi Metaliks | Uni Challenge | 18,300 | 75 | Haldia | China |
| 23 Sep’16 | JSPL | United Halo | 54,000 | 85.2 | Paradip | China |
| 24 Sep’16 | Rashmi Metaliks | Gh Seabiscuit | 22,000 | 76.2 | Haldia | China |
| 24 Sep’16 | Essar Steel | Shravan | 104,100 | N/A | Paradip | Japan |
| 24 Sep’16 | JSPL | Ocean Treasure | 50,100 | N/A | Paradip | China |
| 24 Sep’16 | BRPL | Jin Han | 59,950 | 82.3 | Paradip | China |
| 24 Sep’16 | KIOCL | Panamax Queen | 68,000 | N/A | Mangalore | Iran |
| 27 Sep’16 | Rashmi Metaliks | Gh Seabiscuit | 50,300 | N/A | Dhamra | China |
| 28 Sep’16 | JSPL | King Freight | 48,470 | 81.5 | Paradip | China |
| 28 Sep’16 | Essar Steel | Maria Topic | 52,500 | 82 | Paradip | China |
| 29 Sep’16 | Rashmi Metaliks | Ocean Victory | 20,000 | N/A | Haldia | China |
NA: Not Available
Prices in USD/MT, FoB India
Provisional data
Source: SteelMint Stats, Customs
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