Daily Update: Indian Semis Trade Slowdown

Indian steel market poised over mismatch in supply-demand. Limited demand and high supply kept prices under pressure. This has resulted significant fall in prices of mid sized mills.

As per daily assessment, the Rebar & Billet prices slump by INR 100-500/MT, while Sponge iron marked corrections of INR 100-300/MT. The major price fall observed in Durgapur, eastern India by INR 300-500/MT (USD 4-7).

SteelMint’s latest price assessment for induction furnaces billet in Indian market stood at INR 30,500-33,700/MT (USD 437-484) ex-plant.

Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 19,700-20,500/MT (USD 282-294); prices are ex-plant & excluding GST.

Rupee & BSE Sensex

On 4th January 2019 (Friday) INR to USD exchange rate stood at INR 69.67.

ICEX (Indian Commodity Exchange Ltd) Feb’19 contract for STEELLONG today open at INR 33,200/MT & last traded (IST 18:13) at INR 32,960/MT.

BSE Sensex closed at 35,695 (+181) on Friday, as against last day (Thursday) at 35,513 (-377).

NSE Nifty50 index was closed today at 10,727(+55)

Trade Updates

Indian iron ore export in CY18 recorded at 10.52 MnT, drop by 47% Y-o-Y as against 19.91 MnT in CY17.

According to the latest assessment of Coking coal, spot prices of the Premium HCC are reported at around USD 209/MT FoB Australia & USD 221.5/MT CNF India.

Neelachal Ispat Nigam Ltd (NINL), India’s largest and state owned steel grade pig iron manufacturer & exporter has reduced pig iron prices by INR 500/MT (USD 7). The latest offers for Steel (N1) grade material are assessed at INR 27,400/MT (USD 391) & Foundry (N2) grade at INR 28,000/MT (USD 399); prices are excluding GST, ex-Cuttack, East India.

Vizag Steel has issued an export tender of 30,000 MT basic grade steel making Pig iron for any country other than Nepal. The tender is due on 08 Jan’19 & the last date of delivery period shall be 28 Feb’19.

The private pig iron producers in eastern India – Durgapur have reduced prices by INR 300-500/MT and latest price for Steel grade reported at INR 28,500-28,700/MT ex-plant.

RINL Steel has invited tender for export of Wire rods, Billets and Blooms to Nepal. The quantity for each product is 5,418 MT (equivalent to 2 rakes).The due date for bid submission is 7 Jan’19 (till 15.00 HRS).

The mid size mills Billet export offers to Nepal slump and assessed at USD 445/MT as against beginning of week at USD 455/MT ex-mill, Durgapur, eastern India. Participants believed prices to come down further due to weak demand & domestic fall.

— Aloke Steel Industries (Jharkhand) offered Fem 78-80 C-DRI lumps at INR 20,400/MT & Sponge mix material (60:40) at INR 20,100/MT ex-plant.

 Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 19,700/MT & Billet at INR 30,700/MT ex-plant.

Odisha based manufacturer, Ganesh Metaliks offered Billet at INR 30,800/MT ex-plant, an official reported.

BMM Ispat, a renowned sponge manufacturer offered FeM 80 P-DRI lumps at INR 19,300/MT ex-Bellary, offers decline by INR 200-300/MT from the last trade; an official reported.

South India based Amoda iron & steel ltd is offering FeM 75 & 80 C-DRI lump at INR 19,500/MT & INR 20,600/MT ex-plant (Hyderabad).

BIOP Steels in South India has decreased sponge prices by INR 200/MT, offering FeM 80 & 82 C-DRI lumps at INR 19,900/MT & INR 20,300/MT ex-plant, Karnataka; an official reported.

Raipur, Central India based ERW pipe manufacturers decreased prices by INR 400/MT & offers reported at around INR 37,300/MT ex-plant & excluding GST.

 Hyderabad (South India) based manufacturer Hari Om Pipe Industries Ltd has offered ERW Pipe at around INR 39,700/MT ex-plant. (basic & excluding GST).

Reference prices as on 4th January 2019

Particular/Delivery Size, Grade, Origin Prices Min Max Change 1W 1M
Scrap Ex-Alang HMS(80:20) 25,600 25,500 25,700 – 300 26,600 26,700
Ex-Mumbai HMS(80:20) 25,200 25,100 25,300   0 25,500 26,200
Ex-Chennai HMS(80:20) 24,300 24,100 24,500 + 100 24,100 24,900
C-DRI Ex-Durgapur Mix, FeM 78%, +/-1 20,500 20,400 20,600 – 300 20,600 21,400
Ex-Rourkela Mix, FeM 80%, +/-1 19,800 19,700 19,800 – 100 20,000 20,800
Ex-Raipur Mix, FeM 80%, +/-1 20,500 20,400 20,600 – 300 21,000 22,000
Ex-Bellary Lumps, FeM 80%, +/-1 19,700 19,600 19,800 – 100 20,000 20,800
P-DRI Ex-Durgapur Lumps, FeM 78%, +/-1 19,300 19,200 19,400 – 300 19,400 20,400
Ex-Raipur Lumps, FeM 80%, +/-1 19,000 18,900 19,100 – 100 19,600 20,500
Ex-Bellary Lumps, FeM 80%, +/-1 19,300 19,200 19,400 – 200 19,600 20,200
Ex-Hyderabad Lumps, FeM 80%, +/-1 20,100 20,000 20,100 – 100 20,300 20,800
Ingot Ex-Mandi Gobindgarh 3.5 x 4.5 Inch, IS 2830 33,350 33,300 33,400 – 350 34,000 34,600
Ex-Durgapur 3.5 x 4.5 Inch, IS 2830 30,700 30,600 30,800 – 500 31,300 31,300
Ex-Rourkela 3.5 x 4.5 Inch, IS 2830 29,900 29,800 30,000 – 400 30,300 30,600
Ex-Raipur 3.5 x 4.5 Inch, IS 2830 30,350 30,300 30,400 – 250 30,750 31,100
Ex-Mumbai 3.5 x 4.5 Inch, IS 2830 32,950 32,900 33,000 + 50 33,300 33,300
Billet Ex-Mandi Gobindgarh 125×125 mm, IS 2831 33,700 33,600 33,700 – 300 34,200 34,900
Ex-Durgapur 125×125 mm, IS 2831 31,100 31,000 31,200 – 500 31,700 31,800
Ex-Rourkela 125×125 mm, IS 2831 30,500 30,400 30,600 – 200 30,600 30,800
Ex-Raipur 125×125 mm, IS 2831 31,100 31,000 31,200 – 400 31,600 31,700
Ex-Ahmedabad 125×125 mm, IS 2831 32,800 32,700 32,900 – 400 33,800 33,800
Ex-Mumbai 125×125 mm, IS 2831 33,150 33,100 33,200 + 50 33,500 33,500
Ex-Chennai 125×125 mm, IS 2831 33,300 33,200 33,500   0 33,500 33,400
Ex-Hyderabad 125×125 mm, IS 2831 32,500 32,300 32,700   0 33,000 33,000
TMT Ex-Delhi/NCR 12-25 MM, IS 1786- 500 Fe 37,300 37,100 37,500 – 100 37,300 37,600
Ex-Durgapur 12-25 MM, IS 1786- 500 Fe 36,100 35,900 36,300 – 400 36,300 37,000
Ex-Raipur 12-25 MM, IS 1786- 500 Fe 35,000 34,800 35,100 – 300 35,200 35,400
Ex-Mumbai 12-25 MM, IS 1786- 500 Fe 36,500 36,200 36,700 + 100 36,700 36,600
Ex-Chennai 12-25 MM, IS 1786- 500 Fe 37,400 37,300 37,600   0 37,600 37,600
Ex-Hyderabad 12-25 MM, IS 1786- 500 Fe 37,000 36,800 37,200 – 200 37,500 37,500
Wire Rod Ex-Durgapur Wire Rod(5.5 MM) 37,500 37,400 37,700 – 400 37,600 38,000
Ex-Raipur Wire Rod(5.5 MM) 38,200 37,300 38,200 – 400 38,200 38,800

Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research


Comments

Leave a Reply

Your email address will not be published. Required fields are marked *