- Buyers delay purchases amid expectations of further price drops
- Finished steel prices decline by INR 400-700/t on weak demand
BigMint’s billet index declined by INR 150/t d-o-d to INR 41,950/t exw-Raipur on 2 September 2026. Market activity remained slow as buyers delayed purchases amid expectations of further price adjustments and weak downstream orders. However, sentiment improved slightly towards the end of the trading session, supported by modest buying interest.
Trading remained slow through most of the session as buyers waited for greater clarity on price direction. Mills continued to face weak downstream orders, prompting buyers to limit spot purchases and focus mainly on immediate requirements. The cautious procurement approach kept transaction activity light despite some improvement in sentiment later in the session.
Producers reduced offer levels in anticipation of selective billet bookings in outside markets. Expectations of higher input costs, particularly for sponge iron, also provided some support to seller sentiment. However, weak finished steel demand continued to restrict the scope for a sustained price recovery. The market closed with modest bookings and soft pricing, while participants continued to monitor downstream demand closely.
Finished steel weakens
In Raipur, rebar prices declined by INR 700/t, while wire rod prices fell by INR 400/t d-o-d. Limited enquiries and weak market sentiment weighed on finished steel prices. The sharper correction in finished steel increased pressure on billet demand, as mills and re-rollers remained cautious about fresh procurement.
Sponge iron also corrects
Sponge iron prices declined by INR 300/t as lower bids and competitive offers from neighbouring regions added downward pressure on sponge iron demand.
The conversion spread from sponge iron (PDRI) to billets for standalone induction furnaces in Raipur was assessed at INR 12,900/t.
Rationale
This index is derived based on transactions, offers, bids, and indicative price data sets. Transactions are considered T1 and given a weightage of 50%, whereas other data sets are considered as T2 and given a weightage of the balance 50%.
- Transactions (T1) – Five trades were recorded at INR 41,800-42,100/t during the 10:30 am to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 41,960/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Fourteen offers were reported in the trading window and considered as T2 inputs. The average price of these fourteen was INR 41,945/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 41,952/t exw-Raipur, rounded off to INR 41,950/t exw.
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