On monthly average basis, sponge offers in Central & East India plunge down by INR 300-600/MT in Nov’16. Slight price change of INR 100-200/MT is being recorded in South India.
During the month, sponge offers decline as supply was constant against decrease demand due to fall in Ingot/billet production.
In Nov’16, 78-80 FeM C-DRI prices are assessed at INR 13,650/MT (-1.94%) ex-Durgapur, INR 14,150/MT (-2.70%) ex-Raipur, INR 12,700/MT (-3.13%) ex-Rourkela and INR 14,100/MT (-0.40%) ex-Bellary. Prices changes are mentioned on monthly average against Oct’16 prices.
SteelMint also assessed that there is a continuous rise in sponge iron prices since July’16, offer has come down in the month of Nov’16. However, in terms of raw materials, Iron ore prices were firm, whereas global coal (South Africa) offers plunged by US$ 3-7/MT to US$ 85/MT M-o-M, (CNF India).
Till 19th of Nov’16, India’s monthly DRI export is around 19,850 MT. Meanwhile the country exported around 14,800 MT DRI in Oct’16.
Monthly average sponge (C-DRI) prices
| Month | Bellary | M-o-M | Durgapur | M-o-M | Raipur | M-o-M | Rourkela | M-o-M |
| Jan’16 | 12,050 | -200 | 12,250 | -150 | 12,950 | -50 | 11,600 | -100 |
| Feb’16 | 11,900 | -150 | 12,900 | +650 | 13,250 | +300 | 11,700 | +100 |
| Mar’16 | 12,600 | +700 | 12,450 | -450 | 13,150 | -100 | 11,500 | -200 |
| Apr’16 | 12,200 | -400 | 12,050 | -400 | 12,900 | -250 | 11,350 | -150 |
| May’16 | 11,650 | -550 | 11,300 | -750 | 12,300 | -600 | 10,700 | -650 |
| Jun’16 | 11,550 | -100 | 11,400 | +100 | 12,100 | -200 | 10,450 | -250 |
| Jul’16 | 11,650 | +100 | 11,500 | +100 | 12,150 | +50 | 10,650 | +200 |
| Aug’16 | 12,150 | +500 | 12,400 | +900 | 12,450 | +300 | 11,200 | +550 |
| Sep’16 | 13,800 | +1,650 | 13,350 | +950 | 14,150 | +1,700 | 12,800 | +1,600 |
| Oct’16 | 14,150 | +350 | 13,950 | +600 | 14,550 | +400 | 13,100 | +300 |
| Nov’16 | 14100 | -50 | 13650 | -300 | 14150 | -400 | 12600 | -500 |
Prices in INR/MT
Source: SteelMint Research
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