Indian domestic pig iron offers remain under pressure over low inquiries due to falling steel prices in the country.
SteelMint learnt that, the private pig iron manufacturers in Central & East India further lower their offers around INR 500/MT (USD 8) in running week. The manufacturers are reluctant to cut prices owing to poor off take.
Trade Log
1. Raipur based Jayaswal Neco Industries offering steel grade material at around INR 25,000/MT ex-plant, officials reported. Where as the suppliers in the market are trading same material at INR 24,700-24,800/MT FOR & excluding GST. CI mold offers are evaluated at INR 22,500/MT FOR Raipur & excluding GST.
2. Bokaro based one of the private producer reported local offers for steel grade at INR 22,500/MT ex-plant & same offers FOR Durgapur, excluding GST. Meanwhile, Jharkhand based Atibir Industries offers are reported at INR 22,500/MT ex-plant amid thin trades.
3. Neo Steel in East India – Durgapur have lower offers and are assessed at INR 22,700-22,800/MT with limited demand. However, an other manufacturer in same place are dealing for same grade material at INR 22,300-22,400/MT.
4. Offers for Granulated Pig iron are heard at INR 22,500-23,000/MT & Pooled iron at INR 21,500-22,000/MT ex-works, Odisha.
5. Trade participants in North region – Ludhiana reported bearish trades and offers for steel grade at INR 25,300-25,800/MT & for foundry grade at INR 28,000-28,500/MT FOR & excluding GST.
6. RSP (Rourkela Steel Plant) tender held on 11th Oct to sell about 6,000 MT steel grade material have received poor response. According to market participants, the company was able to sell only 1,000 MT pig iron and the remaining material is unsold. Prior to this, the bid price of the tender was about INR 23,500/MT which did not have any bookings.
7. There is no fresh bulk deal by SAIL’s IISCO unit, according to sources. The company’s last deal reported at INR 22,500/MT for North India (ex-plant) a week ago.
8. Coking coal offers moved down further on low demand. The latest offer for the Premium HCC is assessed at USD 196.95/MT CFR India.
9. Neelachal Ispat (NINL) has not floated any fresh domestic offer and export tender for pig iron due to maintenance work in blast furnace.
Steel grade pig iron reference prices as on 13th Oct 2017
| Particular/Delivery | Prices | Minimum | Maximum | 1 Week ago | 1 Month ago |
| Ex-Bokaro | 22,500 | 22,300 | 22,500 | 23,000 | NA |
| Ex-Durgapur | 22,500 | 22,300 | 22,800 | 23,000 | 24,750 |
| Ex-Giridih | 22,000 | 21,500 | 22,500 | 23,100 | 24,350 |
| Ex-Hyderabad | 25,500 | 25,000 | 26,000 | 25,350 | 25,500 |
| Ex-Jharsuguda | 23,700 | 23,500 | 23,800 | – | – |
| Ex-Ludhiana | 25,500 | 25,300 | 25,800 | 26,050 | 27,450 |
| Ex-Raigarh | 24,500 | 24,300 | 24,500 | 25,450 | 25,800 |
| Ex-Raipur | 24,700 | 24,500 | 24,800 | 25,600 | 25,800 |
| Ex-Vizag | 25,100 | 24,800 | 25,300 | 24,850 | 24,600 |
Prices ex-works in INR/MT & excluding GST
Source: SteelMint Research
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