Improved pellet demand from P-DRI manufacturers has compelled majority of Indian pellet makers to hike offers this week. Pellet offers in India’s major markets have moved up in the range of INR 100-350/MT W-o-W. However pellet prices in Raipur continue to remain stable this week.
Domestic P-DRI prices in India have gone up to INR 1,000/MT in a week’s time.
However few market participants remain skeptical about sustenance of increased offers.
Trade-wise:
1. Southern India based pellet maker – MSPL raised pellet offers. Offers for Fe 65% grade pellets are at INR 6,600/MT (basic).
2. Durgapur based Super Smelters sold 2,000 MT pellets to a Durgapur based sponge manufacturer at INR 5,200/MT. Current offers are at INR 5,500/MT.
3. Bilaspur based Rashi Steel & Power sold 2,000 MT pellets at INR 4,950/MT (ex-Bilaspur) in local market. Current offers are at INR 5,000-5,100/MT (ex-Bilaspur).
Indian Pellet Prices as on 28 Feb’17
|
City |
Grade (Fe %) | Basic Prices in INR/MT |
W-o-W |
Remarks |
| Barbil* | 63 | 4,600-4,700 | +100 |
JSPL pellet offers are at INR 4,700/MT and |
| Jharsuguda | 63 | 5,200 | +300 |
Shyam Metaliks & Energy raised pellet offers |
| Durgapur | 63 | 5,200-5,500 | +250 | Rashmi Metaliks increased offers to INR 5,200/MT. Shyam Sel & Super Smelters have also hiked offers to INR 5,500/MT. |
| Jamshedpur | 63 | 5,000 | +200 |
Adhunik Metaliks raised offers by INR 200/MT W-o-W. |
| Raipur | 63 | 5,000 |
= |
Trade sources shared that deals have been concluded |
| Bellary | 63 | 6,200-6,250 | +350 |
Amid increasing P-DRI prices, Bellary based |
| Kandla** | 63 | 6,750 | +150 | In line with increasing global iron ore prices, Jindal SAW has raised pellet offers. Prices for South African lump (Fe 64/63) are at USD 97/MT, CFR China. |
*loaded to wagons
**delivered
Source: SteelMint Research
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