Indian sponge iron prices are heading to reach its all time time high and it might get support from expensive imports of scrap and iron ore.
“Sponge iron prices which are trading at its peak might stay firm in near term on rise in raw material cost.Offers from medium scale plants are in the range of Rs 24,700-24,800/MT, where as bigger plants are quoting at around Rs 25,000/MT.” said a sponge broker based in Raipur.
“Buyers are reluctant to pay higher even though imported scrap will get expensive as international offers have increased and rupee has weakened. Prices might correct after holi.” said another broker based in Jalna.
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