MMTC, India’s largest and state owned trading house, had floated export tender of 40,000 MT non-alloy Pig Iron on behalf of Neelachal Ispat Nigam Limited (NINL). Apart from 30,000 MT firm quantity, the pig iron exporter has also offered an optional quantity of 10,000 MT depending upon the availability of pig iron.
The material offered has specification – C: 3.6-4.3%; Si: up to 1.24%; Mn < 1%, S: 0.05% max; P: 0.2% Max. The shipment was scheduled between 21 July-31 July’18 from Paradip port.
As per market sources report to SteelMint, the tender fetched participation from three companies and highest bid was heard around USD 382/MT, FoB India. The other bids put were lower by USD 5-10/MT compared to H1 bid. In the latest update received, the company has concluded the tender in the price range of USD 382-383/MT, FoB level and the tender quantity awarded is heard around 30,000 MT.
As per sources, the company is planning to re-tender the remaining 10,000 MT pig iron shortly.
NINL received good response in recent domestic price circular – Sources
On 06 Jul’18, NINL (Neelachal Ispat) had reduced domestic prices for steel grade by INR 600/MT and that for foundry grade by INR 1,000/MT. The price validity is till 18 Jul’18. The offer price by the company hovering for Steel (N1) grade at INR 27,500-27,900/MT (USD 401-407) & Foundry (N2) grade at INR 28,500/MT (USD 416); prices are excluding GST, ex-Cuttack, East India.
As per trade sources, NINL received good response in this domestic Pig iron offers and around 40,000 MT has been sold out, out of which around 30,000 MT has been booked by for Central India based parties and around 10,000 MT by East India based participants.
Global Pig iron export market – As per sources, Brazilian pig iron producers are only offering material for August shipments as they are preferring domestic sales. No new export deals were reported and price assessment stands at USD 380-385/MT, FoB levels.
CIS origin pig iron export price assessment is around USD 385-390/MT, FoB Black Sea and to SE Asian nations the offer would come around USD 400-410/MT, CFR.
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