With limited trades for global market on the last quote prices, the Indian sponge manufacturers have reduce export offers by USD 5/MT to USD 275-280/MT CPT Benapole port, Bangladesh.
Presently, domestic offers for FeM 78-80 sponge C-DRI are assessed at INR 14,200-16,000/MT (USD 220-248) ex-works. And the fresh export offers for grade 80 FeM lumps are assessed at USD 275-280/MT CPT Benapole port, Bangladesh.
A Supplier based in Durgapur, East India quoted “In previous offer the buyers in Bangladesh haven’t booked any material; as they were getting cheaper imported scrap offers from Middle East countries which are USD 10/MT down with prices in the range of USD 305-315/MT for Shredded scrap.”
India is the world’s largest sponge iron producer, registered the highest ever export of Sponge DRI in FY17 at 340,200 MT; surge about 76%, Y-o-Y.
Outlook:
It seems that demand of sponge & prices may get stronger this week for domestic market due to sharp gain in billet prices. In context to exports, deals may take place looking at depreciating INR against USD.
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