“Expect Indian sponge prices to fall on production cut by induction furnaces”-Brokers

Market experts report SteelMint, that sponge iron prices might correct in coming weeks if demand for finish does not pick up and induction furnaces are forced to cut production.

“Demand for re-bar and structural steel is really poor, ingot manufacturers will be left with no other option but to cut productions.This will lead to fall in sponge iron prices.We expect prices might correct up to Rs 400-500/t.” said a large sponge broker in Raipur, Chattisgarh.

Sponge prices in Central and East India corrected by Rs 100-200/t today.