Sponge Offers Slide in South India

Sponge offers in South India, Karnataka have further come down by INR 200-300/MT, D-o-D. While in rest of the markets it reported minor price change of INR 100/MT.

Current offers for 80 FeM C-DRI in South region is at INR 15,000-15,200/MT which was at INR 15,400-15,500/MT on 28 Jan’17. Similarly in P-DRI for which offers are prevailing at INR 14,700-14,800/MT; down by INR 200/MT.

A Sponge supplier who supplies from South to West India quoted, “As of now, No major buying are coming from outside States, buyers are sceptical about to purchase and are in wait & watch mode, looking for the upcoming budget results”

In context to raw materials, Indian Iron ore prices are firm. Whereas global coal offers are strengthen; RB2 South African coal offers are prevailing at USD 85-86/MT, CNF India.

Trade Highlights of Karnataka (South India)

1. BMM Ispat yet to open fresh offer. The company’s last offers were at INR 15,300-15,400/MT for 80 FeM P-DRI, ex-plant.

2. Sunvik Steels has cut prices by INR 300/MT; offering 80 & 82 FeM C-DRI are at INR 15,650/MT and INR 16,050/MT ex-plant.

3. Prakash Sponge a prime grade sponge manufacturer has also reduced prices by INR 300-400/MT; sold 80 FeM C-DRI lump at INR 15,000-15,100/MT, ex-plant.

4. Yeshashvi Steel & Alloys, a 150 TPD sponge Manufacturer from Karnataka is offering 80 FeM C-DRI lump at INR 14,900-15,000/MT ex-plant

5. Shiv Shakti Steel, a 200 TPD sponge manufacturer in Hyderabad, has offered 80 FeM C-DRI lump at INR 16,200-16,300/MT. The company is also offering billet at INR 25,000/MT (ex-plant).

Semis prices as on 30 Jan’17

Prices in INR/MT
Source: SteelMint Research