Central India: Sponge iron prices remain under pressure

SteelMint’s benchmark sponge iron (P-DRI) prices dropped by INR 200/t to INR 28,800/t ($385), exw Raipur, Central India. Demand remained poor due to decline in production by the furnaces & hot rolling mills.

• The Raipur based plants floated P-DRI offers at INR 28,800-29,000/t exw. Meanwhile, few bids have been reported at INR 28,700-800/t on FoR basis.
• Sponge DR CLO grade offers were floated at INR 31,000-31,200/t exw, however there were less suppliers in the market.

Sources are expecting prices to fall further amid rising stocks with local suppliers, outside state based plants & aggressive offers from resellers.