- Lower bids and muted demand weigh on spot prices
- Finished steel prices drop INR 300/t in Raipur
BigMint’s billet index declined further on 21 January 2026, slipping by INR 200/t d-o-d to INR 40,650/t exw, as weak downstream demand continued to weigh on market sentiment. Trading activity in the semi-finished steel segment remained subdued, with buyers largely staying on the sidelines amid expectations of additional price corrections.
Market participants reported that procurement was largely hand-to-mouth, as finished steel offtake failed to improve meaningfully. With downstream enquiries remaining weak, buyers preferred a wait-and-watch approach, limiting spot purchases and keeping liquidity thin through the trading session.
Producers attempted to hold offer levels, citing relatively firm raw material replacement costs and stable operating margins. However, limited volumes and persistent pressure from the finished steel segment capped any upside. The market closed with soft pricing and restrained participation, reflecting cautious sentiment across the value chain.
Market highlights
- Finished Steel: In the finished steel segment, rebar and wire rod prices in Raipur declined by INR 300/t d-o-d, tracking weak buying interest and limited dispatches.
- Sponge Iron: Prices corrected by INR 200/t, as lower bids and few enquiries exerted additional downward pressure.
The conversion spread from sponge iron (PDRI) to billets for standalone induction furnaces in Raipur was assessed at INR 15,850/t, indicating producer margins remain intact even as prices softened.
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) – Two trades at INR 40,500-40,600/t were recorded 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 40,545/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Nineteen offers were reported in the trading window and considered as T2 inputs. The average price of these nineteen was INR 40,750/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 40,647/t exw-Raipur, rounded off to INR 40,650/t exw.
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