As per trade sources report to SteelMint, an Odisha (east India) based pellet exporters are hopeful of a realization of upto USD 95-96/MT, CFR China. A pellet maker informed there better chances of striking a deal soon. SteelMint assessed Fe 63% pellets at USD 95-96/MT, CFR China which is equivalent to USD 87-89/MT, FoB India.
Last week offers were at USD 93-95/MT, CFR levels. Higher grade (Fe 64%) Indian pellet may fetch prices of USD 97/MT, CFR China.
Pellet premium for Fe 65% grade has increased from USD 30/MT, CFR China to USD 31/MT, CFR China.
Ex-mines realization of Indian pellet increases: As per our analysis export realization from Odisha to China is currently at around INR 4500-4600/MT(loaded to wagons, GST Extra) while on the other hand presently domestics offers are around INR 3900-4100/MT(loaded to wagons, GST Extra). Rising prices in global market has increased realization.
| Particulars | In USD/MT | In INR/MT |
| Indian Pellet (CNF China basis) | 96 | 6,192 |
| Freight from India to China | 8 | 516 |
| Indian Pellet Offers (FoB basis) | 88 | 5,676 |
| Port Expenses | 5 | 300 |
| Export Duty | Nil | Nil |
| Logistics from Odisha plant to Port | 12 | 800 |
| Loaded to wagons realization (GST Extra) | 71 | 4,576 |
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