West India (Rajasthan) based pellet maker – Jindal SAW has raised domestic offers by INR 150/MT (USD 2). Fe 63% grade pellet price assessment is at INR 7,500/MT(delivered Kandla) against last week’s assessment of INR 7,350/MT. Jindal SAW runs a 1.5 MnT pellet plant in Bhilwara (Rajasthan). The pellet maker increased prices in line with the hike in global iron prices which makes offers for imported lump costlier. Yesterday, benchmark iron ore fines (Fe 62%) index increased today and is assessed at USD 65.2/MT CFR, China against USD 63/MT a week ago.
Durgapur pellet makers reduce offers amid weak demand -: In Durgapur (eastern India) reference pellet price assessment stands at INR 6,500/MT (delivered) down by INR150/MT to INR 6,600-6,700/MT. According to the market participants, demand is slow in eastern India. P-DRI prices have also decreased sharply by INR 450/MT this week to INR 19,000/MT as against last week assessment of INR 19,450/MT.
Barbil pellet price assessment stands stable at INR 6,500/MT (loaded to wagons). Odisha based pellet makers – BRPL is heard offering around INR 6,600/MT (ex-Jajpur).
Central India Pellet offers stable, limited trades reported -: Pellet price assessment for this week is at INR 6,400-6,500/MT (ex-Raipur) in line with the last week’s assessment. However, SteelMint has learned from the sources that some of the deals were also heard to have concluded at around INR 6,400/MT. However, buying interest is heard INR 100-150/MT lower than present offers.
P-DRI prices fluctuated slightly by INR 250/MT to INR.19,700/MT (basic) compared to INR 19,950/MT a week ago.
Southern India pellet offers fell by INR 100/MT W-o-W –: Southern India Pellet makers have decreased pellet prices by INR100/MT to INR6,300/MT (Ex- Bellary) this week against INR 6,400/MT last week.
P-DRI prices decreased by INR 400/MT to INR.18, 900/MT (basic) compared to INR 19,300/MT a week ago.
Indian Pellet Reference prices as on 24th Jul’18
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Barbil* | 63 | 6,500 |
| Jajpur | 63 | 6,600 |
| Durgapur | 63 | 6,500 |
| Raipur | 63 | 6,400-6,500 |
| Bellary | 63 | 6,300 |
| Kandla** | 63 | 7,500 |
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
*loaded to wagons
**delivered
Source: SteelMint Research
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