In the week opening, Indian semis offers witness fall of INR 100-300/MT in both Sponge iron & billet. During the day, trade activities were silent over festive mood in the major markets specifically in Eastern region.
SteelMint’s price assessments for induction furnaces billet size 125×125 mm are reported at INR 31,400-34,800/MT (USD 492-546) ex-plant. Further the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 20,500-21,700/MT (USD 321-340); prices are ex-plant & excluding GST.
Today (Monday, January 22, 2018) INR to USD exchange rate stood at INR 63.84 & BSE Sensex closed at 35,798 (+286).
Key Market Updates:
1. According to port data maintained by SteelMint, India’s iron ore imports are expected to hit 3 years high in the month of Jan’18. Limited domestic supply pushed Indian steelmakers to buy more of the raw material overseas rather than high cost domestic.
2. India’s crude steel output was recorded at 101.4 MnT in the calender year of 2017, surge by 6% Y-o-Y.
3. Raipur, Central India based Integrated plants offers reduced by INR 200-300/MT D-o-D, offering Sponge P-DRI at INR 20,000-20,100/MT & Sponge DR-CLO at INR 22,100-22,300/MT. Both prices are ex-plant & excluding GST.
4. According to sources, Rashmi Metaliks in Durgapur has reduced sponge offers by INR 100/MT and are offered P-DRI at INR 20,900-21,000/MT. Meanwhile, small manufacturers in the market offered same material at INR 20,700-20,800/MT.
5. Durgapur based steel mills have concludes Induction grade billet export deal to Nepal at around USD 498/MT (ex-mill). While, offers by Odisha based Ganesh metaliks are reported at USD 500/MT ex-mill.
6. BMM Ispat in South India (Karnataka) has reduced sponge offers by INR 200-300/MT and are reported FeM 80 P-DRI at INR 20,200-20,300/MT ex-Bellary.
7. BIOP Steels in South India has reduced sponge offers by INR 500/MT, offering FeM 80 & 82 C-DRI lumps at INR 21,500/MT & INR 22,500/MT ex-plant, Karnataka; trade activities are weak at these offers; an official reported.
8. Melting scrap offers in Western India- Maharashtra rise by INR 500/MT D-o-D owing to shortage of material, the trade participants reported.
9. The manufacturers from Raipur & Rourkela are continues selling Ingot/billet to South India – Hyderabad which landed cost is low about INR 500-1,000/MT than the offers provided by local mills in Hyderabad.
10. East region based Wire manufacturers have increased gauge parity by INR 400/MT in HB Rod and comes to INR 2,200/MT from Wire rod, earlier it was higher by INR 1,800/MT from Wire rod.
11. Kalika Steel Alloys in Jalna increased their prices by INR 400/MT and offering 28mm rebars at INR 36,400/MT ex-plant & excluding GST.
12. Gujarat based Akshar TMT has increased rebar offers by INR 200/MT in last couple of days and offering at INR 46,000/MT FOR & including GST at 18%, Size – 20 mm.
Reference prices as on 22nd January 2018
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 21,700 | 21,600 | 21,800 | – 200 | 22,600 | 21,700 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 20,800 | 20,800 | 20,900 | – 200 | 21,500 | 20,500 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 21,300 | 21,200 | 21,400 | – 300 | 22,300 | 21,900 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 20,700 | 20,600 | 20,800 | – 300 | 21,700 | 19,700 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 21,300 | 21,200 | 21,400 | – 200 | NA | NA | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 20,700 | 20,600 | 20,800 | – 100 | 21,600 | 20,700 |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 20,100 | 20,000 | 20,200 | – 200 | 21,200 | 20,800 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 20,200 | 20,100 | 20,300 | – 300 | 20,800 | 19,300 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 21,000 | 20,900 | 21,100 | 0 | 21,000 | 19,700 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 33,600 | 33,500 | 33,700 | 0 | 34,200 | 33,700 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 31,300 | 31,200 | 31,400 | – 200 | 32,300 | 31,500 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 30,800 | 30,800 | 30,900 | – 200 | 31,700 | 30,700 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 31,400 | 31,300 | 31,500 | – 150 | 32,500 | 31,700 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 34,200 | 34,100 | 34,300 | – 100 | 35,100 | 34,300 | |
| Ex-Chennai | 3.5 x 4.5 Inch, IS 2830 | 34,200 | 34,000 | 34,400 | 0 | 34,000 | 32,500 | |
| Ex-Hyderabad | 3.5 x 4.5 Inch, IS 2830 | 34,500 | 34,500 | 34,700 | – 250 | 36,000 | 34,000 | |
| Billet | Ex-Mandi Gobindgarh | 125×125 mm, IS 2831 | 34,400 | 34,300 | 34,500 | – 100 | 35,100 | 34,200 |
| Ex-Durgapur | 125×125 mm, IS 2831 | 31,800 | 31,700 | 31,900 | – 100 | 32,700 | 31,800 | |
| Ex-Rourkela | 125×125 mm, IS 2831 | 31,400 | 31,300 | 31,500 | – 200 | 32,100 | 31,500 | |
| Ex-Raipur | 125×125 mm, IS 2831 | 32,300 | 32,200 | 32,400 | – 200 | 33,400 | 32,500 | |
| Ex-Mumbai | 125×125 mm, IS 2831 | 34,400 | 34,300 | 34,400 | – 100 | 35,300 | 34,500 | |
| Ex-Chennai | 125×125 mm, IS 2831 | 34,800 | 34,600 | 35,000 | + 100 | 34,500 | 32,750 | |
| Ex-Hyderabad | 125×125 mm, IS 2831 | 34,500 | 34,500 | 34,700 | – 250 | 36,000 | 34,000 | |
| TMT | Ex-Delhi/NCR | 12MM | 38,700 | 38,500 | 38,900 | – 300 | 38,500 | 39,000 |
| Ex-Durgapur | 12MM | 36,000 | 35,800 | 36,200 | 0 | 36,800 | 35,000 | |
| Ex-Raipur | 12MM | 36,000 | 35,800 | 36,200 | – 200 | 37,200 | 36,000 | |
| Ex-Mumbai | 12MM | 38,900 | 38,500 | 39,000 | + 200 | 39,300 | 37,500 | |
| Ex-Chennai | 12MM | 39,250 | 39,200 | 39,500 | 0 | 38,500 | 36,500 | |
| Ex-Hyderabad | 12MM | 37,700 | 37,500 | 37,900 | – 250 | 39,200 | 37,000 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
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