- Lower bids, increasing competition trigger correction in spot offers
- Weak finished steel demand continues to weigh on billet trade
BigMint’s billet index declined by INR 450/t d-o-d to INR 42,100/t exw-Raipur on 1 September 2026, halting the recent price rally. Lower bids and increasing competitive offers put pressure on spot prices, while weak downstream steel demand continued to constrain procurement in the semi-finished steel segment.
Market activity remained subdued, although a few bookings were concluded for neighbouring markets at favourable prices, as per sellers. Participants indicated that the sustained rise in spot offers had made buyers increasingly reluctant to book material at elevated levels, challenging the sustainability of recent price gains. Competitive offers from traders and producers further widened the gap between buyer and seller expectations.
Weakness in finished steel added to the pressure on billet demand. In Raipur, rebar prices declined by INR 200/t, while wire rod prices fell by INR 600/t d-o-d, on muted downstream demand and weaker enquiries.
Sponge iron prices in Raipur also corrected by INR 250/t as buying enquiries remained weak despite reductions in spot offers. The correction indicated weak procurement appetite among buyers amid uncertainty over the direction of the steel market.
The conversion spread between sponge iron (PDRI) and billets for standalone induction furnaces in the Raipur cluster widened to INR 12,750/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) – Four trades were recorded at INR 42,000-42,200/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 42,032/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Eighteen offers were reported in the trading window and considered as T2 inputs. The average price of these eighteen was INR 42,178/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 42,105/t exw-Raipur, rounded off to INR 42,100/t exw.
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