In a week, Steel grade pig iron prices in Durgapur, East India fell by INR 1,000/MT (USD 15/MT). Industry sources are assuming, soon price corrections in the rest of markets will follow looking at weak demand amid falling coking coal & Indian billet prices.
Currently, Neo Steels and Jai Balaji Steels are offering Steel grade material in Durgapur at INR 22,300/MT & INR 22,000/MT, respectively. Analyzing price movement in Jan’17, it fell up to INR 1,500/MT (USD 22) in Durgapur. While, in the rest of markets it marginally changed.
In Jan’17, coking coal prices marked a fall of USD 40-45/MT, the latest import offer for the Premium HCC was assessed at USD 175-176/MT FOB Australia & USD 185-186/MT CFR India. In the same time Indian domestic billet prices were down by INR 1,000-1,200/MT (USD 15-18).
Market Comments –
Raipur based participants reported logistic issue from Odisha due to this the suppliers have maintain offers at same levels of INR 24,000-24,300/MT. While a renowned manufacturer in the market is currently not quoting any prices. The last offer by the company was at INR 24,500-24,700/MT ex-plant.
Atibir Industries in Giridih, Jharkhand stated, slight fall in demand. The company’s offers for steel grade are at INR 23,000-23,100/MT ex-plant. As price in Durgapur have plunge down, the manufacturer may have to reduce prices soon.
Sources who deals with Neelachal Ispat (NINL) reported about fall in prices in the fresh price circular as the plant is unable to get major bookings at the last offer price of INR 23,000/MT (ex-Cuttack) for steel grade (N1) material. They further added that, fresh prices by the Company probably announce on closing of export tender which going to expire on 25 Jan’17.
Officials from Vedanta Resources (Sesa goa) reported steel grade prices at INR 24,500/MT FOR Hyderabad. While, another manufactures in the South region namely Gerdau Steels has yet to open fresh prices. RINL (VSP) landed (FOR) price in Hyderabad assessed at INR 24,000/MT.
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