Indian pellet offers across all major markets continues to remain stable this week except in Jharsuguda where they have moved up by INR 400/MT W-o-W.
Increase in P-DRI prices is yet to drive domestic pellet market in India. Week 49 has witnessed stability in domestic pellet prices except Jharsuguda.
Limited inquiries from sponge manufacturers resulted in limited trade activities.
Market participants reported that sentiments in sponge market has improved considerably over a week’s time but pellet demand in domestic market is very dull.
Indian Pellet Prices as on 29 Nov’16
|
City |
Grade (Fe %) | Prices | W-o-W |
Remarks |
| Barbil | 63 | No offers | – | JSPL & Arya iron & steel are not giving offers for domestic market owing to better realizations in export. An eastern India based pellet maker has recently concluded a pellet deal to China at USD 101-102/MT, CFR. |
| Jharsuguda | 63 | 4,400 | +400 | Some deals have been concluded at INR 4,300/MT (basic). Domestic demand continues to remain weak. |
| Durgapur | 63 | 4,600 | 0 | Market participants reported minimal trade activities amid limited inquiries. |
| Jamshedpur | 63 | 4,100 | 0 | Adhunik Metaliks kept offers unchanged. |
| Raipur | 63 | 4,600 | 0 | Despite improvement in P-DRI prices, inquiries for pellet bookings have not increased. Limited trade deals concluded at INR 4,600/MT |
| Bellary | 63 | 5,350 | 0 | Pellet prices remain unchanged amid lesser demand from sponge manufacturers. Sources reported sponge manufacturers have either taken shut down or are operating at lower capacity levels. |
| Kandla* | 63 | 6,400 | 0 | Jindal SAW continues to hold offers |
Basic prices in INR/MT
*delivered
Source: SteelMint Research
Trade-wise:
1. Southern India based MSPL is offering Fe 65% pellets at INR 5,700/MT (basic)
2. West Bengal based pellet manufacturer – Super Smelters sold 2,000 MT pellets at INR 4,500/MT (basic)
3. Jharsuguda based pellet maker – Shyam Metaliks & Energy sold 3,000 MT pellets to a Raigarh based plant at INR 4,300/MT (basic). Currently offers are at INR 4,400/MT (basic)
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