With steep corrections in Indian domestic sponge prices the exports offers also plunged by USD 5-10/MT, W-o-W. The fresh export offers for 80 FeM lumps grade are assessed at USD 280-285/MT CPT Benapole port, Bangladesh.
Notably, in last 8-10 days Indian domestic sponge offers plunged by INR 400-800/MT (USD 6-13) and stood at USD 240-245/MT ex-works, West Bengal & USD 230-235/MT, Odisha East India.
A smelter based in Dhaka, Bangladesh reported “sponge import offers fell by USD 10/MT, the fresh offers by Indian suppliers namely Usha Martin are received at USD 280-285/MT on CPT Benapole port basis for lumps grade material. Bookings not yet made as we need it further less price by USD 10-15/MT”, he added.
Bangladesh is the prime location of Indian DRI exports. The buyers in the country are also getting scrap offers which are competitive compared to sponge; Imported shredded scrap offers are reported at USD 310-320 CNF, by middle east countries.
India is world’s largest sponge iron producer and has an installed capacity of 47-48 MnT, In FY17 India’s sponge iron production increased by 6.5% while DRI (Sponge) exports increase by 76.42% in FY17 compared to FY16.
Leave a Reply