Domestic pellet prices in India continue to remain under pressure witnessing fall of up to INR 50-300/MT W-o-W. However, in southern India pellet prices have remained unchanged.
West India (Rajasthan) based pellet maker – Jindal SAW has slashed recently pellet prices by INR 300/MT. Current offers for Fe 63% grade pellets have moved up to INR 6,900/MT (delivered Kandla) against a previous assessment of INR 7,200/MT.
Spot iron ore prices in China have fallen sharply 11% W-o-W to USD 68/MT, CFR China today. Following this offers for imported South African lump have also witnessed reduction.
Jindal SAW runs a 1.2 MnT pellet plant in Bhilwara (Rajasthan). The pellet maker has resumed pellet production in March after taking a maintenance shutdown.
Central, Eastern and Western India based market participant’s shared dull buying interest in pellets. SteelMint’s reference price assessment is at around INR 6,500/MT (basic, Raipur). However, trade sources reported thin buying interest at these levels.
Indian domestic pellet market update: Week 11
1. Reference pellet price assessment for Durgapur stands at INR 6,100-6,200/MT this week. P-DRI prices have decreased sharply by INR 1,200/MT W-o-W at INR 20,300/MT
2. A Raipur based pellet maker is heard to have sold 10,000 MT pellets at INR 6,500/MT (ex-Raipur).
3. Southern India (Ex-Bellary) based pellet manufacturers have kept pellet offers unchanged.Current price assessment for Fe 63% grade pellets is heard around INR 7,200 (ex-Bellary) same as last week no change has been noticed this week.
Indian Pellet Reference prices as on 13th Mar’18-:
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Barbil* | 63 | 5,500- 5,600 |
| Durgapur | 63 | 6,100-6,200 |
| Jamshedpur | 63 | 5,200-5,500 |
| Raipur | 63 | 6,500 |
| Bellary | 63 | 7,200 |
| Jharsuguda | 63 | 5,800 |
| Kandla** | 63 | 6,900 |
*loaded to wagons
**delivered
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research
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