India: NINL concludes 3 Pig Iron shipments in July-August 

Steel grade Pig iron is mostly exported by state owned producers namely NINL (Cuttack) and RINL (Vizag) from Paradip Port and Vizag Port respectively.

Almost 50% of the total production is used for sales in export market as they manufacture Pig iron in big quantities.

Since the beginning of FY 14, Sesa Goa is also concentrating on export market and producing of Basic grade Pig iron in good quantities as demand for Foundry grade material has weakened in the past few months.

Tata Metaliks Limited (Kharagpur) exports a small quantity of Foundry grade Pig iron almost every month.

Pig iron exports grew sharply by 251% M-o-M in August

Owing to depreciation in Indian currency against USD and improved demand from international market, export market was quiet favorable for  Indian Pig iron manufacturers.

Port-wise exports of Pig iron (MT):

Port         August           July M-o-M % Chg

Paradip     63,000       31,500      100

Goa          31,043         2,187    1319

Vizag        30,000               0           0 

Mundra         710         1,499     (-)53

Kolkata        200               54      270    

Others          522             469        11

Others include:

Petrapole         50               469      (-)89 

Rexual Road   472                  0       100

NINL concluded 3 export deals for July-August shipment:

Shipment 1: During the 2nd half of July (USD/MT FoB Paradip Port)

Trader: Prime Carbon GmbH (Switzerland)

Price: 373.02 

Shipment 2: During mid-August 

Trader: Prime Carbon GmbH (Switzerland)

Price: 375.38 

Shipment 3: During the end of August 

Trader: LG International (South Korea)

Price: 373.02 

RINL won an export deal for July shipment:

This was RINL's first Pig iron export deal in the current financial year.

One Shipment: During the month of July (20th  was the last date)

Trader: LG International (South Korea)

Price: 373.02    

Note: Prices in USD/MT FoB

Specification of the material

NINL – N1 grade, Si Upto 1.24%

RINL – Si 1.0%

Country-wise exports of Pig iron (MT):

Country    August         July M-o-M % Chg

China         62,127        2187        2741 

Thailand     31,500              0             0 

Korea        17,000              0             0

US             13,000              0             0

Pakistan          426        1553  (-)73

Others           1422      31969       (-)96

Others include:

Bangladesh       50            469      (-)89

Malaysia          900        31500    (-)97

Nepal              472                0      100

The South Korean and Switzerland based traders were keen to take Indian material and sell it out in the Far east region, looking at decent demand.

Indian Pig iron exporters were able to get rid of inventory through export deals as domestic demand was poor and prices dropped sharply due to poor off take of finished steel and cheaper substitute available.