- Inquiries for semis thin amid elevated offers
- Sponge iron prices in Raipur rise INR 750/t d-o-d
BigMint’s billet index extended its upward momentum on 4 February 2026, rising by INR 300/t day-on-day to INR 41,250/t exw-Raipur, though market sentiment turned cautious amid limited buying interest at higher price levels. Trading activity remained selective, with most participants opting to pause fresh bookings after covering requirements in earlier sessions at relatively lower prices.
Despite the price increase, overall enquiries in the semi-finished segment stayed subdued. Continuous gains over the past few days prompted buyers to adopt a wait-and-watch approach, seeking clearer cues from the finished steel market before committing further volumes. Market participants noted that while raw material tightness continues to lend short-term support to billets, demand-side strength remains insufficient to sustain aggressive price hikes.
A Raipur-based trader said, “Buyers have largely completed near-term procurement, and at current levels, fresh buying is difficult unless finished steel demand improves further.”
Finished steel prices rise
In the Raipur market, finished steel prices moved higher, reflecting bookings concluded in the previous session. Rebar and wire rod prices increased by INR 500-600/t d-o-d, supported by earlier demand recovery. However, enquiries weakened at elevated offer levels, indicating resistance from end-users and cautious restocking behaviour.
Sponge iron prices surge on supply tightness
Sponge iron prices in Raipur recorded a sharp increase of INR 750/t d-o-d, driven by tighter availability of pellet-based sponge iron and selective buying from induction furnace mills. That said, overall demand remained limited, as many buyers had already secured material earlier at more favourable prices.
The conversion spread from pellet-based sponge iron (PDRI) to billets for standalone induction furnaces in Raipur was assessed at around INR 14,550/t, highlighting margin pressure amid rising input costs.
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 41,200-41,300/t were recorded during the 10:30 am to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 41,240/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Sixteen offers were reported in the trading window and considered as T2 inputs. The average price of these sixteen was INR 41,283/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 41,261/t exw-Raipur, rounded off to INR 41,250/t exw.
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