Vizag Steel, one of the leading producer and exporter of Pig iron, has recently held an export tender for 20,000 MT steel grade Pig iron on 19 Jan’17. The company may conclude this tender; as per sources.
Vizag Steel floated this tender on 13 Jan’17 for 20,000 MT steel grade Pig iron with scheduled technical bids to close on 19 Jan’17 for February shipment.
According to market sources, the company has received highest bid at USD 298/MT, FoB Vizag Port followed by second highest at USD 292/MT, FoB Vizag Port. However, company was negotiating with the bidders as they expected bids around USD 315/MT, FoB Vizag Port.
Currently the global market is very volatile and no buyers are ready to take positions due to uncertainty, the company is planning to conclude the tender at the H1 prices i.e. USD 298/MT, FoB Vizag Port according to sources.
Notably, the company had cancelled its previous export tender for 20,000 MT steel grade Pig iron which expired on 14 Dec’16 on account of higher bid expectations. The company received 3 bids and the H1 bid received was at USD 281.5/MT, followed by second and third highest at around USD 274, 273/MT, FoB East Coast respectively. But, the company’s expectation was around USD 300/MT, FoB due to higher cost of production.
Another major Pig iron tender by MMTC for minimum 15,000 MT and maximum 30,000 MT is going to close today.
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