SteelMint’s benchmark sponge iron (P-DRI) prices fell by INR 200/t to INR 29,200/t ($396), exw Raipur, Central India. Lower bids along with falling billet prices created pressure on sponge prices. The bids from furnaces were quite lower, as a result, limited deals occurred today.
- Sponge P-DRI offers were floated at INR 29,200-29,400/t exw & deals were recorded at around INR 29,200/t on exw & FoR Raipur basis. Also, a few bids were assessed at INR 29,000/t exw, however no confirmed deals were reported.
- Sponge DR CLO grade prices remain supported on account of limited supply in the spot market due to raw material shortage. SteelMint’s assessment increased by INR 100/t to INR 31,500-700/t exw.
Trade sources do not expect a sharp price correction in sponge iron due to lower conversion (margins) with sponge makers as raw material (Iron ore & Pellet) prices continued to head north.
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