Pellet prices across major markets in India witness stability this week except in West India and Durgapur where prices have shown increase.
Bhilwara (Rajasthan) based pellet maker has increased its pellet offers by INR 200/MT W-o-W mainly due to increase in global iron ore prices. Iron ore prices in China went up by 3% W-o-W to present trade at USD 64/MT, CFR China for Fe 62% fines.
Rajasthan offers for Fe 63% pellets have moved up from INR 5,600/MT to INR 5,800/MT (delivered Kandla).
In other major markets domestic pellet offers continue to remain stable amid volatility in domestic steel prices and holidays. However market participants are anticipating less fluctuations downside and foresee stability in the near term.
Indian Pellet Prices as on 02 Nov’16
|
City |
Grade | Prices | W-o-W | Remarks |
|
(Fe %) |
||||
| Barbil* | 63 | 3,850 | 0 | Higher export offers attract pellet makers more than domestic market. Offers heard at USD 85-86/MT, FoB India |
| Jharsuguda | 63 | No offers | – | Shyam Metaliks & Energy kept its sales closed owing to maintenance shutdown |
| Jamshedpur | 63 | 4,200 | 0 | For quantity nearly 10,000 MT, price is INR 4,100/MT (basic) |
| Durgapur | 63 | 4,500-4,800 | +100 | Rashmi Metaliks has increased pellet offers by INR 200/MT W-o-W to INR 4,500/MT in line with higher export realizations. Other pellet makers in Durgapur maintain offers unchanged at INR 4,800/MT |
| Raipur | 63 | 4,700 | 0 | Limited trades seen at present offers. Less anticipation of further decline in pellet prices amid stability in sponge market |
| Bellary | 63 | 4,950-5,200 | 0 | Market has opened today after holidays. Pellet makers are holding prices, may revise prices in 2nd half of this month |
| Kandla** | 63 | 5,800 | +200 | With imported lump becoming costlier, amid rise in global iron ore prices (up by USD 2/MT W-o-W), Jindal SAW has raised its domestic pellet offers. |
Basic prices in INR/MT
* loaded to wagons
**delivered
Source: SteelMint Research
Trade-wise :
1. Raipur based Jayaswal Neco keep pellet offers unchanged at INR 4,800/MT (after VAT exemption). It concluded a deal for 1,100 MT pellets to a Bilaspur based sponge plant at INR 4,800/MT (after VAT exemption)
2. Raipur based Sarda Energy & Minerals sold nearly 4,000 MT pellets at INR 4,700/MT to Raipur based sponge plants
3. Bilaspur based pellet plant – Rashi Steel & Power is under maintenance shutdown. Offering limited pellets in limited quantity at INR 4,700/MT (ex-Bilaspur)
4. Bhilwara (Rajasthan) based pellet maker – Jindal SAW is offering Fe 65% pellets at INR 6,100/MT (delivered Kandla)
5. West Bengal based Super Smelters and Shyam Sel keep pellet offers unchanged at INR 4,800/MT
6. Rourkela based Shri Mahavir Ferro Alloys concluded a deal of 8,000 MT pellets with local buyers at INR 4,300 ex-plant. Current offers are at INR 4,200/MT (ex-plant)
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