According to pellet rake movement data maintained with SteelMint, movement during Jan’17 by eastern India based pellet plants fell 18% M-o-M. Major eastern India based pellet makers dispatched 23 pellet rakes last month compared to 28 rakes in Dec’16.
Pellet rake movement of Jindal Steel & Power (JSPL) increased 31% M-o-M from 16 rakes in Dec’16 to 21 rakes in Jan’17. Tata Steel continued with its pellet sourcing and procured 4 rakes from JSPL in Jan’17.
Pellet movement by Arya Iron & Steel fell sharply 71% M-o-M in Jan’17. It supplied only two rakes last month.
Ardent Steel and BRPL did not supply any rake last month.
Sharp reduction in offtake of Bhushan Steel was seen in Jan’17. It procured only 3 rakes in Jan’17 against 14 rakes in Dec’16.
Pellet rake movement : Jan’17 vs Dec’16
|
Seller |
Buyer | Jan’17 |
Dec’16 |
| Jindal Steel & Power Ltd | Bhushan Steel Ltd | 3 | 13 |
| Tata steel | 4 | 3 | |
| Bhushan Power & Steel Ltd | 2 | – | |
| Gallant Ispat | 2 | – | |
| Jharkhand Ispat Pvt Ltd | 1 | – | |
| Maan Steel & Power Ltd | 2 | – | |
| Satyam Smelters | 2 | – | |
| Brahmaputra Metaliks Ltd | 1 | – | |
| Bhagwati Sponge Pvt Ltd | 2 | – | |
| Gagan Ferrotech | 2 | – | |
| Total | 21 | 16 | |
| Arya Iron & Steel Ltd | Arya Iron & Steel Ltd | 1 | 3 |
| Brahmaputra Metaliks Ltd | – | 1 | |
| Dhanbad Fuels Ltd | – | 1 | |
| Bhagwati Sponge Pvt Ltd | – | 1 | |
| Bhushan Steel Ltd | – | 1 | |
| Shyam Steel | 1 | – | |
| Total | 2 | 7 | |
| Ardent Steel Ltd | Bagadiya Brothers Pvt Ltd | – | 3 |
| Brahmani River Pellets Ltd | Steel Exchange India Ltd | – | 2 |
| Grand Total | 23 | 28 | |
Each rake carries approximately 3,850 MT pellets
Source: SteelMint Research, Railways
Domestic pellet scenario in Jan’17 – Barbil based pellet makers- JSPL and Arya Iron & Steel resumed offering pellets in domestic market. However pellet prices in Jharsuguda and Durgapur declined towards the month end over limited buying interest.
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