- Power shortages hamper billet production, prompting sellers to raise offers
- Billet demand slows at higher prices; finished steel prices rise but buying stays limited
BigMint’s billet index increased by INR 150/t d-o-d to INR 45,750/t exw-Raipur on 6 October 2026, as tighter supply supported higher offers despite limited demand at elevated prices.
Market activity remained slow as sentiment in the semi-finished steel segment stayed weak. Sellers raised spot offers in finished steel markets, anticipating improved buyer interest, but end-user enquiries and demand remained subdued.
Market participants also highlighted that billet production was hampered due to power shortages, which kept sellers’ offers elevated despite limited demand.
Finished steel prices increase
Rebar prices in Raipur increased by INR 700/t d-o-d, while wire rod prices rose by INR 200/t. However, buying interest remained limited.
Sponge iron demand remains weak
Pellet-based sponge iron remained under pressure, sponge iron PDRI-Raipur prices fell marginally by INR 50/t to INR 29,350/t d-o-d with limited enquiries and weak demand despite lower offers.
The conversion spread from PDRI to billet for standalone induction furnaces in the Raipur cluster was assessed at INR 16,400/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 were recorded at INR 45,700-45,800/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 45,777/t, which was given a 50% weightage in the final price calculation.
- Other price indicators – bids/offers/indicatives (T2) – Sixteen offers were reported in the trading window and considered as T2 inputs. The average price of these sixteen was INR 45,742/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 45,760/t exw-Raipur, rounded off to INR 45,750/t exw.
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