India: Sponge iron market sees mixed price movement

• Regional divergence seen in buying activity today
• South region buying activity remained muted today

The domestic sponge iron market witnessed mixed movement today, with prices moving upward in some regions, declining in others, while several markets remained stable. Limited demand and lower buyer participation continued to weigh on overall market momentum. Buyers remained cautious amid uncertainty over the near-term price direction, resulting in limited bulk bookings and generally muted trading activity across most regions.

In the PDRI segment, prices declined by INR 100-300/t across central and eastern regions, while the southern market remained largely stable. BigMint’s Raipur PDRI assessment settled at around INR 28,600/t, down INR 100/t from the previous assessment. The decline was mainly attributed to slow demand and lower buying participation, which kept sellers under pressure in the market.

In the CDRI segment, prices in Ramgarh and Raigarh declined by INR 100-700/t, while Rourkela and Mandi markets increased by around INR 100/t. Other regions remained stable. BigMint’s Rourkela CDRI assessment settled at around INR 29,400/t, up INR 100/t, supported by firm seller bookings, which limited the scope for price reductions.

Overall buying momentum remained moderate. Some regions witnessed active trade at lower price levels, while activity in other markets remained largely muted. Buyers continued to adopt a wait-and-watch approach and avoided bulk purchases due to unclear future price direction. BigMint captured around 13,000 t of trades today, about 8,000 t more than the previous day, indicating moderate market activity.

Rationale