- Weak finished steel demand keeps billet demand subdued
- Elevated raw material costs limit downside in spot offers
BigMint’s billet index edged lower by INR 50/t d-o-d to INR 40,900/t exw-Raipur on 25 August 2026, as subdued buying interest and weak finished steel demand limited participation across the semi-finished steel segment. Despite producers maintaining elevated offer levels, cautious procurement from buyers resulted in only a marginal correction in billet prices today.
Market activity remained weak throughout the session, with buyers opted for wait-and-watch approach as softness in the market sentiment resulted in lower participation in today’s trading session. Continuous uptrend and elevated offers led buyers confidence on doubt over the sustainability of current levels.
On the supply side, producers attempted to hold offers at higher levels, supported by firm raw material costs and earlier billet bookings to neighbouring markets. However, softer domestic demand and competitive pricing in the nearby regions offset the impact of these supportive factors, resulting in a range-bound market with a slight downward bias.
Finished steel shows mixed trend
The finished steel market in Raipur remained mixed: rebar prices increased by INR 300/t d-o-d, while wire rod prices declined by INR 300/t amid weaker enquiries from end-users.
Sponge iron prices stable
Sponge iron prices in the Raipur cluster stayed unchanged d-o-d. Although spot buying remained muted, producers maintained higher offer levels, due to elevated raw material costs and expectations of improved demand following stronger buying activity in previous sessions.
The conversion spread between pellet-based direct reduced iron (PDRI) and billets for standalone induction furnaces in the Raipur cluster was assessed at INR 12,400/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) – Two trades at INR 40,800-40,900/t was 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 40,870/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Seventeen offers were reported in the trading window and considered as T2 inputs. The average price of these seventeen was INR 40,933/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 40,901/t exw-Raipur, rounded off to INR 40,900/t exw.
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