- Competitively priced inflows from neighbouring regions exert pressure
- Finished steel prices weaken by INR 200-300/t amid lacklustre demand
BigMint’s billet index declined by INR 300/t d-o-d to INR 38,000/t exw-Raipur on 30 July 2026, as producers reduced spot offers to stimulate buying in a market constrained by weak downstream demand. While the correction prompted a modest improvement in billet bookings, overall trading activity remained limited as buyers continued to procure only against immediate requirements. The persistent weakness in finished steel demand over recent days kept buyers cautious.
Market sentiment remained under pressure from weaker pricing trends in neighbouring markets and the availability of competitively priced material from nearby producing regions. These factors continued to influence local trade, compelling billet producers to reduce offers to maintain competitiveness in the spot market.
Finished steel prices weaken further
The finished steel market in Raipur remained under pressure. Rebar prices declined by INR 300/t d-o-d, while wire rod prices fell by INR 200/t, reflecting tepid demand from distributors and end-users. The continued softness in long steel consumption reduced billet procurement by rerollers and maintained downward pressure on the semi-finished steel market.
Sponge iron extends correction
Sponge iron prices in the Raipur cluster also declined by INR 150/t d-o-d. Spot buying remained muted as producers largely maintained relatively higher offers while buyers continued to bid at lower levels, resulting in a wider bid-offer gap and limiting transaction volumes.
The conversion spread between pellet-based direct reduced iron (PDRI) and billets for standalone induction furnaces in the Raipur cluster narrowed further to INR 13,200/t.
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) – Seven trades at INR 38,650-38,800/t was 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 38,339/t, which was given a 50% weightage in the final price calculation.
Other price indicators – bids/offers/indicatives (T2) – Fifteen offers were reported in the trading window and considered as T2 inputs. The average price of these fifteen was INR 38,500/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 38,419/t exw-Raipur, rounded off to INR 38,400/t exw.
Click here for detailed methodology
Leave a Reply