Weekly round-up:Steel markets firm as supply constraints support prices despite cautious demand

• Weekly round-up: Steel markets firm as supply constraints support prices despite cautious demand
• Billet, sponge iron and BF-rebar prices strengthened, supported by tighter August availability.

Indian steel markets showed a mixed trend this week, with billet, sponge iron and BF-rebar prices strengthening on tighter supply expectations, while imported scrap and ferro alloys remained subdued amid cautious downstream demand and currency pressure.

Iron ore and pellet

• PELLEX remained unchanged at INR 10,200/t ($107/t) DAP Raipur on 14 August, in line with the previous assessment. Market activity remained mixed, with some sellers concluding sizeable volumes while others saw limited fresh enquiries. Sellers resisted offers below INR 10,100/t ex-works, while buyers largely bid around INR 9,900/t, viewing current prices as high. Caution over the sustainability of the recent sponge iron price recovery also limited aggressive procurement.
• BigMint’s Odisha Fe 62% fines index remained unchanged w-o-w at INR 5,000/t ($52/t) ex-mines on 14 August. Limited spot activity and need-based buying during the monsoon kept prices stable, while rain-related mining disruptions tightened availability. Buying remained cautious amid higher coal costs, weak steel prices and pressure on sponge iron margins. Comfortable inventories following the July OMC auction and pre-monsoon stock build-up also limited fresh buying ahead of the August OMC auction.

Ferrous Scrap

• India’s imported ferrous scrap market remained subdued during the week, with weak import viability, a soft rupee and monsoon conditions limiting buying interest. HMS 80:20 was offered around $340/t C&F Mundra, while UK shredded scrap offers were heard at $390-395/t CFR against bids near $370/t, while bids are below this levels.
• Trading remained selective, with Europe-origin turnings sold at around $290/t CFR Mundra. Containerised shredded scrap was indicated at $325-330/t, while hand-loaded material was heard at $340-345/t. Despite some improvement in demand, downstream buying remained sluggish.
• Towards the week-end, sentiment stayed cautious as stronger billet exports supported demand expectations, but failed to lift HMS bids significantly. Imported scrap prices are likely to remain rangebound in the near term amid currency pressure and limited downstream support.

Coal

• South African thermal coal prices at Indian ports rose w-o-w on 14 August, supported by stronger overseas demand and improving sponge iron buying interest. RB2 (5,500 NAR) ex-Paradip increased INR 300/t to INR 11,450/t, while ex-Vizag rose INR 700/t to INR 11,400/t. RB3 prices at both ports increased INR 250/t to INR 9,450/t. Port inventories fell 15% w-o-w to 11.79 mnt as evacuations exceeded fresh arrivals. However, several sponge iron producers continued favouring domestic coal due to sufficient stocks. PDRI DAP-Durgapur rose INR 1,200/t to INR 24,950/t, reflecting stronger sponge iron sentiment.
• India’s domestic metallurgical coke market remained broadly stable in the week ended 13 August, as cautious steel mill buying and weak finished-steel demand limited activity. BF-grade met coke stayed at INR 35,300/t ex-Jajpur and INR 33,500/t ex-Gandhidham, while foundry coke remained at INR 36,400/t ex-Rajkot. Imported Indonesian BF-grade met coke was unchanged at $308/t CFR India, with no recent Indian bookings reported.
• India’s domestic non-coking coal prices strengthened further this week, with 5,000 GCV coal ex-Bilaspur rising INR 50/t w-o-w to INR 6,750/t as on 14 August. The grade was INR 1,250/t higher m-o-m, while 4,500 GCV coal remained at INR 5,150/t w-o-w but rose INR 1,100/t m-o-m. Tight availability, monsoon disruptions and firmer price expectations supported prices. Washed coal also increased, with 38-39% FC (5,000 GCV) FOR Raipur rising INR 200/t w-o-w to INR 7,000/t as on 12 August, as limited ROM supply and stronger enquiries lifted replacement costs. Sponge iron prices also strengthened, with PDRI ex-Raipur rising INR 700/t to INR 26,050/t. However, trading remained largely need-based, with limited improvement in actual demand.

Ferro alloys

• Silico Manganese:Indian silico manganese (60-14) prices declined by INR 400/t ($4/t) w-o-w to INR 72,900-73,700/t ($764-772/t) across key markets. Sellers found support from firm bookings, but cautious buyers anticipating lower raw material costs and high freight expenses kept prices under downside pressure.
• Meanwhile, HC 65-16 silico manganese export prices also dipped by $5/t to $883/t FOB Vizag/Haldia.
• Ferro Manganese:Indian ferro manganese (70%) prices remained mostly stable with slight rise by INR 200/t ($2/t) at INR 78,600/t ($824/t) in Raipur and edged up by INR 400/t ($4/t)to INR 78,500/t ($823/t) exwDurgapur. However, export prices of the 75% grade dropped by $6/t w-o-w to $899/t FOB Vizag/Haldia. Prices remained mostly stable as steady demand and firm producer offers offset cautious buying and limited spot activity.
• Ferro Silicon:India ferro silicon (Si 70%) prices remained largely stable with slight drop w-o-w by INR 500/t ($5/t) at INR 87,200/t ($914/t) ex-works Guwahati, while Bhutan prices edged down by INR 200/t ($2/t) to INR 87,100/t ($913/t). Prices in India remained largely stable amid balanced demand-supply conditions. Stainless steel mills continued to procure raw material at a steady pace for regular production needs.
• Ferro Chrome:Indian high-carbon ferro chrome (HC 60%, Si: 4%) prices eased by INR 500/t ($5/t) w-o-w to INR 119,100/t ($1,248/t) exw-Jajpur.Domestic demand remained subdued and export inquiries were weak, leading to pressure on sellers.

• Meanwhile, Vedanta-FACOR conducted a ferro chrome auction yesterday, with the entire offered quantity sold. The lumps lot (Cr: 57% min, 10-150 mm) fetched an H1 price of INR 119,850/t ($1,257/t) exw, INR 2,100/t ($22/t) above the base price of INR 117,750/t ($1,235/t). However, the H1 realisation was INR 1,550/t ($16/t) lower than the previous auction on 15 July, indicating continued pressure on market prices.

Semi finished

• Billet
  India’s Semi-finished steel market extends gains amid strong bookings during the week ended 14 August 2026, with billet prices strengthening across most major producing regions. According to BigMint’s assessment, domestic billet prices increased by INR 100-700/t ($1-7/t) week-on-week (w-o-w) across major regions. Chennai and Mandi Gobindgarh were exceptions, recording declines of INR 50-200/t ($0.5-2/t). Buying activity and demand from neighbouring markets improved significantly, supporting higher booking volumes during the week.
• Sponge iron
  Sponge iron prices increased by INR 100-1,200/t ($1-12/t) w-o-w across major regions. Improvement from the semi-finished and finished steel segments encouraged higher sponge iron procurement and contributed to an increase in weekly bookings. Durgapur recorded the sharpest increase, with prices rising by INR 1,200/t ($12/t) on significant improvement in demand for sponge iron. The rise in sponge iron prices also provided additional support to the billet market sentiments.
  India’s DRI export market continued to strengthen, tracking the increase in domestic sponge iron prices. However, overseas buying activity remained limited. Pellet-based sponge iron offers to Nepal increased by $4/t w-o-w to $282/t CPT Raxaul, while CDRI/mix sponge iron offers rose by $2/t to $307/t CPT Raxaul. Offers to Bangladesh increased marginally by $1/t to $312/t CPT Benapole.
• Pig iron
  SAIL-Rourkela Steel Plant (RSP) conducted a pig iron auction on 14 August, recording weaker participation compared with the previous auction on 8 August. Against the scheduled 5,000 t, only 2,500 t was booked at an average price of INR 37,550/t, down INR 50/t from INR 37,600/t in the previous auction.
  SAIL-Bokaro Steel Plant (BSL) offered around 14,000 t of pig iron on 12 August 2026, with the entire quantity booked through four rakes at an opening price of INR 35,530/t ex-works plant. The auction price was around INR 1,000/t lower than the previous level of INR 36,500/t recorded on 15 July.

Finished long steel

• IF-rebar:Raigarh recorded the steepest increase of INR 700/t, while Bengaluru, Delhi and Jaipur were the only exceptions, with prices declining by INR 200/t, INR 600/t and INR 200/t, respectively. The decline in Delhi was mainly due to regional buying pressure, while the market had increased its offerings in the previous week as the Muzaffarnagar market remained closed due to the Kawad Yatra. With the market resuming operations this week, prices corrected accordingly. Buying activity remained moderate, with demand supporting prices, particularly in central regions, where order bookings from neighbouring states provided additional support. Firm-to-upward raw material prices and low mill margins further limited the scope for price reductions. Mill inventory levels eased to around 8–10 days, while order booking visibility remained at around 3-5 days.
• On a week-on-week basis, rebar prices showed an upward trend in the range of INR 100-700/t across key regions, except in Bengaluru, Delhi and Jaipur, where prices declined by INR 200/t, INR 600/t and INR 200/t, respectively, according to BigMint’s assessment.
• Trade reference prices of Fe 500-grade rebars manufactured via the IF route (10-25 mm size) were assessed at INR 40,600-41,000/t exw Raipur and INR 44,400-45,000/t exw Jalna.
  Trade reference prices of heavy structural steel for the base size 150 mm channel stood at INR 43,500-44,000/t exw Raipur.
• Trade reference prices of wire rod stood at INR 42,300-42,900/t exw Raipur.
• BF-rebar:Trade-level BF-rebar prices rose INR 1,200/t w-o-w to INR 53,200/t ex-Mumbai, while project prices were workable at INR 53,000-54,000/t landed. Despite moderate demand, scheduled mill shutdowns, production diversion and limited fresh bookings are expected to tighten availability and support further price firmness in the near term.

Flat steel

• BigMint’s bi-weekly benchmark assessment for HRC (IS2062, Grade E250, 2.5-8 mm/CTL) in Mumbai increased by INR 100/t ($1/t) to INR 58,100/t ($607/t) w-o-w from INR 58,000/t ($606/t) as on 14 August from the previous assessment.
  Likewise, the benchmark assessment for CRC (IS513, Grade O, 0.9 mm/CTL) increased by INR 200/t ($2/t) w-o-w to INR 65,200 ($682/t) from INR 65,000/t ($680/t) as on 14 August from the previous assessment.
• India’s trade-level HRC market firmed slightly during the week, following the withdrawal of mill rebates at the start of August. The move improved trade parity as earlier distributor losses narrowed and trade prices moved closer to prevailing mill levels. However, demand remained largely need-based, with buyers continuing to adopt a cautious approach and limiting purchases to immediate requirements. Overall, the improved trade economics provided some support to market liquidity, although a sustained recovery in downstream demand is yet to emerge.
• Import volumes: India’s bulk HRC imports stood at 118,036 t as of 12 August and with an additional 279,258 tonnes to be recorded by the end of August
• Export volumes: India’s bulk HRC exports stood at 182,274 t as of 12 August, with an additional 191,009 tonnes expected to be added by the end of August.
• Indian HRC export offers remained mixed across key destinations, with EU buying activity stalled as Q4CY26 quota availability was exhausted.Middle East enquiries improved, supporting firmer offers, while Vietnam demand remained weak and kept transaction activity subdued. Overall, export market activity remained measured, with regional buying interest varying across destinations.