Daily Update: Indian Sponge & Billet Market

In the week opening, domestic sponge market observed slight price fluctuation of INR 100/MT, however due to limited inquiries billet offers fall sharply by INR 400-1,100/MT (USD 6-16) in major markets.

As per industry participants, the buyers remained cautious over uncertainty in the market, resulting thin spot trades. The standalone billet producers in East & Western regions also mentioned poor inquiries from domestic & exports as well.

SteelMint’s latest price assessment for induction furnaces billet in Indian market stood at INR 33,700-37,300/MT (USD 490-543) ex-plant.

Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 19,200-22,200/MT (USD 279-323); prices are ex-plant & excluding GST.

Rupee & BSE Sensex

On 2nd July 2018 (Monday) INR to USD exchange rate stood at INR 68.75

BSE Sensex closed at 35,264(-159) on Monday, as against last day (Friday) at 35,423(+385)

Raw material

Odisha’s major merchant Iron ore miners like Rungta Mines, KJS Ahluwalia and Kaypee Enterprises have today announced hike in Iron ore prices by INR 300/MT in lumps and fines.

Bhushan Power & Steel’s iron ore sourcing has recorded at 0.29 MnT in May’18, surge by 19% as against in Apr’18 at 0.25 MnT.

MOIL raised manganese ore prices by 5% for Q2 over the prevailing prices since Jun’18 for Ferro Grade, Silico Manganese grade, and Fines.

Semi finished

Tata Metaliks, India’s one of the largest foundry grade pig iron manufacturer has reduced its prices by INR 800/MT (USD 12) & fresh prices reported at INR 33,000/MT for high silicon, foundry grade Pig iron.

Girdih based Atibir Industries, a Pig iron producer has kept offers firm amid average inquiries. The latest price reported at INR 29,000-29,500/MT ex-plant & excluding GST.

Neo Metaliks in Durgapur – West Bengal has kept offers unaltered and are assessed at INR 29,500/MT ex-plant.

SteelMint learned from market sources that Jindal Steel & Power Ltd (JSPL) resumed power supply to Raigarh (Chhattisgarh) based induction furnaces at power charges of INR 4/Unit for 5 years.

Rashtriya Ispat Nigam Limited (RINL) – state owned steel maker under the Ministry of Steel, is heard to have concluded the 20,000 MT bloom (150*150mm) at around USD 510-515/MT, FoB India.

Raipur, Central India based Integrated plants offering Sponge P-DRI at INR 19,800-19,900/MT & Sponge DR CLO grade at INR 22,600-22,800/MT ex-plant

As per participants, Rashmi Metaliks in Durgapur has rolled over Sponge prices and are assessed P-DRI at INR 21,200-21,300/MT.

BIOP Steels in South India has offered FeM 80 & 82 C-DRI lumps at INR 19,800/MT & 20,200/MT ex-plant, Karnataka, trade activities are weak at these offers; an official reported.

Finish Long

Vizag Steel (RINL), one of the largest long steel producer in India has reduced Rebar prices by INR 500/MT for 8 to 16mm & INR 750/MT for 20-32mm, July deliveries.

North Region based Rathi Steels have reduce their prices by around INR 600/MT on day basis and current offering rebar at INR 43,200/MT, size – 12 mm & excluding 18% GST.

The suppliers in Raipur have slightly increased their trade discount on Wire rod and current hovering at INR 1,200-1,500/MT, size – 5.5 MM.

Jalna based rebar manufacturer – SRJ Peety Steels Pvt Ltd branding Shree Om TMT unchanged their prices on day basis and offering basic rebar at INR 36,700/MT, ex-work & excluding GST.

Gujarat based Shreeyam Power & Steel Industries Ltd branding as National TMT has reduce prices by around INR 100-200/MT on basic rebar and offered at INR 47,200/MT FoR & including GST at 18%, Size – 20 mm.

South Region Based – VRKP Steel Industry Pvt Ltd – VRKP has unchanged their offers on day basis & current offering rebars at INR 49,500/MT (8 mm), ex-work & including GST.

Shakti Ferro Alloys in Chennai, South Region has offered rebar at INR 40,000/MT (12 mm) & Billet at INR 35,000/MT on immediate payment term, ex-work & excluding GST.

Kalika TMT offers 12-25mm rebars at around INR 38,800/MT ex-plant, Jalna (GST 18% extra).

Reference prices as on 2nd July 2018

  Particular/Delivery Size, Grade, Origin Prices Min Max Change 1W 1M
Scrap Ex-Mumbai HMS(80:20) 25,000 24,900 25,100 – 200 25,400 27,500
Ex-Chennai HMS(80:20) 24,900 24,800 25,000   0 25,000 26,400
C-DRI Ex-Durgapur Mix, FeM 78%, +/-1 22,200 22,100 22,300 – 100 22,300 22,700
Ex-Rourkela Mix, FeM 80%, +/-1 20,800 20,700 20,900 – 100 20,800 21,100
Ex-Raipur Mix, FeM 80%, +/-1 21,600 21,500 21,700 + 50 21,500 21,900
Ex-Bellary Lumps, FeM 80%, +/-1 19,200 19,100 19,300   0 19,500 20,400
P-DRI Ex-Durgapur Lumps, FeM 78%, +/-1 21,200 21,100 21,300 – 100 21,300 21,200
Ex-Raipur Lumps, FeM 80%, +/-1 19,850 19,800 19,900 + 50 19,500 19,900
Ex-Bellary Lumps, FeM 80%, +/-1 18,600 18,500 18,700   0 19,000 19,800
Ex-Hyderabad Lumps, FeM 80%, +/-1 19,400 19,300 19,500 – 100 19,800 20,500
Ingot Ex-Mandi Gobindgarh 3.5 x 4.5 Inch, IS 2830 36,800 36,700 36,900 – 1,100 38,150 39,900
Ex-Durgapur 3.5 x 4.5 Inch, IS 2830 34,000 33,900 34,100 – 800 35,000 36,900
Ex-Rourkela 3.5 x 4.5 Inch, IS 2830 33,000 33,000 33,200 – 800 34,000 36,300
Ex-Raipur 3.5 x 4.5 Inch, IS 2830 33,300 33,200 33,400 – 700 34,100 36,450
Ex-Mumbai 3.5 x 4.5 Inch, IS 2830 34,100 34,000 34,200 – 300 35,000 37,500
Ex-Chennai 3.5 x 4.5 Inch, IS 2830 34,300 34,200 34,400 – 400 34,700 35,800
Ex-Hyderabad 3.5 x 4.5 Inch, IS 2830 33,700 33,600 33,800 – 500 34,700 36,200
Billet Ex-Mandi Gobindgarh 125×125 mm, IS 2831 37,300 37,200 37,400 – 1,100 38,600 40,600
Ex-Durgapur 125×125 mm, IS 2831 34,500 34,400 34,600 – 800 35,300 37,400
Ex-Rourkela 125×125 mm, IS 2831 33,800 33,700 33,900 – 600 34,700 36,800
Ex-Raipur 125×125 mm, IS 2831 34,300 34,200 34,400 – 750 35,150 37,500
Ex-Mumbai 125×125 mm, IS 2831 34,300 34,200 34,400 – 350 35,200 37,800
Ex-Chennai 125×125 mm, IS 2831 34,800 34,700 34,900 – 400 35,200 36,300
Ex-Hyderabad 125×125 mm, IS 2831 34,000 33,900 34,100 – 500 35,000 36,500
TMT Ex-Delhi/NCR 12-25 MM, IS 1786- 500 Fe 42,000 41,800 42,200 – 400 42,800 44,600
Ex-Durgapur 12-25 MM, IS 1786- 500 Fe 39,300 39,100 39,500 – 600 40,500 42,100
Ex-Raipur 12-25 MM, IS 1786- 500 Fe 39,200 39,000 39,400 – 200 39,800 42,000
Ex-Mumbai 12-25 MM, IS 1786- 500 Fe 38,600 38,200 38,700   0 39,100 41,300
Ex-Chennai 12-25 MM, IS 1786- 500 Fe 39,800 39,600 40,000   0 40,300 41,000
Ex-Hyderabad 12-25 MM, IS 1786- 500 Fe 39,250 39,000 39,500 – 250 39,500 40,800

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


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