- Price corrections fail to boost trading activity
- Finished steel, sponge iron prices weaken d-o-d
BigMint’s billet index recorded a modest correction of INR 250/t d-o-d, settling at INR 38,700/t exw-Raipur on 8 June 2026, as weak buying interest and limited enquiries continued to weigh on market sentiment. However, the price drop failed to stimulate trading activity.
The semi-finished steel market remained under pressure due to demand softness in finished steel and cautious procurement by buyers. Despite lower spot offers, buying activity was restricted to immediate requirements, with participants avoiding bulk bookings amid uncertainty over demand recovery. Negative cues from neighbouring markets further pressured billet prices and reinforced bearish sentiment.
Market participants reported that sellers initially attempted to maintain offers at previous levels. However, persistent lower bids from buyers and weak spot enquiries resulted in limited bookings at negotiated levels towards the close of the session. While a few trades were concluded in the billet segment, weak downstream demand continued to prevent any meaningful recovery in prices.
Finished steel prices soften
In Raipur, finished steel prices declined further as demand remained weak. Rebar and wire rod prices both decreased by INR 200/t d-o-d, with sellers operating under pressure amid limited buying activity and slow order inflows. Participants noted that weak finished steel demand remains the key factor restricting billet procurement and inventory replenishment across the market.
Sponge iron prices drop
Sponge iron prices in the Raipur cluster declined by INR 100/t d-o-d. Competitive offers from neighbouring regions exerted additional pressure on spot prices, while a widening gap between buyer bids and seller expectations limited transaction volumes.
The conversion spread from sponge iron (PDRI) to billets for standalone induction furnaces in Raipur was assessed at INR 14,400/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) – Three trades at INR 38,500-38,800/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 38,735/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 38,707/t and given a 50% weightage in the final price calculation.
The final price of billets was INR 38,721/t exw-Raipur, rounded off to INR 38,700/t exw.
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