- Raipur buyers limit procurement due to high moisture content
- Jalna mills resist lower bids despite muted demand
Mill scale prices across major Indian markets remained largely stable during the assessment week ended 05 August, reflecting balanced regional supply-demand fundamentals despite subdued trading activity. According to BigMint’s assessment, Fe 69% mill scale prices in Kandla remained unchanged at INR 7,650/t ($80/t) DAP compared with 1 August. Jalna prices edged up by INR 50/t ($0.5/t) to INR 6,400/t ($67/t) ex-works from 29 July, while Raipur prices held steady at INR 7,150/t ($75/t) ex-works, supported by firm seller offers and steady domestic procurement.
Kandla: Exporters maintain firm offers despite weak overseas demand
Mill scale prices in Kandla remained range-bound as exporters maintained offers at INR 7,400-7,700/t DAP for fresh bookings. Trading activity was limited, with exporters holding adequate inventories and showing little urgency to procure additional material. Consequently, arrivals from key sourcing regions, including Mandi and Jalna, remained restricted.
Export activity also remained subdued, with no fresh vessel bookings reported during the assessment period. Weakness in the global Fe 61% iron ore index continued to pressure export bids, prompting exporters to stay away from fresh cargo bookings at prevailing price levels. Deals for around 1,150 t were concluded at INR 7,600-7,700/t DAP during the publishing window.
Raipur: Firm offers persist despite limited buying
Mill scale prices in Raipur remained steady as most transactions had already been concluded at previously reported offers of INR 7,150/t. Sellers continued dispatching material against earlier bookings and maintained firm offers, supported by buyer acceptance at current price levels.
Fresh buying remained limited, however, as consumers adopted a cautious approach due to higher moisture content in the material, restricting procurement to immediate requirements. Consequently, no significant transactions were concluded during the publishing window.
A Raipur-based trader informed BigMint, “Fresh purchase orders from outside buyers are expected tomorrow, so we are waiting for those before concluding any new deals.”
Jalna: Mills resist lower bids amid weak steel demand
Jalna mill scale prices remained broadly stable, although a few mills reduced offers to INR 6,200-6,400/t ex-works. Buyers sought lower procurement prices following the recent correction in Kandla market levels to maintain parity in procurement prices. However, most mills resisted these bids and continued to hold offers near prevailing levels, resulting in limited negotiations.
Trading activity remained subdued, primarily due to weak finished steel demand, which continued to weigh on procurement activity. Deals for around 500 t were concluded at INR 6,500/t during the publishing window.
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