- Lower offers trigger selective bookings, overall demand slow
- Finished steel and sponge iron prices fall by INR 300/t in Raipur
BigMint’s billet index declined by a further INR 100/t d-o-d to INR 38,550/t exw-Raipur on 3 July 2026, reaching its lowest level in nearly seven months. The index was last assessed below this level in December 2025. Although lower billet offers prompted some improvement in bookings, buying activity remained below market expectations as weak downstream demand continued to weigh on sentiment.
Market activity remained cautious throughout the session, with buyers continuing to procure only immediate requirements despite softer prices. Reduced billet offers encouraged selective transactions in the semi-finished segment, but overall participation remained limited. Intense competition from neighbouring markets and aggressive lower bids from buyers kept pressure on spot prices, making it difficult for sellers to conclude deals at desired levels.
The continued weakness in the finished steel segment further undermined billet demand, with rerollers showing limited interest in replenishing inventories amid sluggish order inflows.
Finished steel prices decline
Downstream steel prices weakened further in the Raipur market. Both rebar and wire rod prices declined by INR 300/t d-o-d as weak end-user demand continued to limit offtake. The correction in finished steel prices further reduced procurement interest for billets, reinforcing the bearish market sentiment.
Sponge iron drops
Sponge iron prices in the Raipur cluster also declined by INR 300/t during the session, indicating muted buying interest and sustained pressure from competitive offers in neighbouring regions. Despite the sharp correction, buyers remained cautious, anticipating that prices could soften further if finished steel demand fails to improve.
The conversion spread between pellet-based direct reduced iron (PDRI) and billets for standalone induction furnaces in the Raipur cluster was assessed at INR 15,000/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 at INR 38,500/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 38,500/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 38,607/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 38,553/t exw-Raipur, rounded off to INR 38,550/t exw.
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