Increasing P-DRI prices and comparatively lesser iron ore rake availability in domestic market continues to drive up domestic pellet offers in eastern India. In week 13, pellet offers in eastern region of India have gone up to INR 500/MT W-o-W.
Barbil based major pellet manufacturers – Jindal Steel & Power (JSPL) and Arya Iron & Steel have raised pellet offers by INR 300/MT W-o-W.
Market participants are optimistic about the current market scenario and do not see price fall in pellets in the near term. P-DRI prices in central India have gained by INR 100-300/MT W-o-W.
However in western India, pellet offers have come down owing to fall in global iron ore prices.
Indian Pellet Prices as on 24 Mar’17
|
City |
Grade (Fe %) | Basic Prices in INR/MT |
W-o-W |
Remarks |
| Barbil* | 63 | 4,900-5,000 | +300 | JSPL is offering pellets at INR 5,000/MT (loaded to wagons) and Arya Iron & Steel is offering pellets at INR 4,900/MT. |
| Jharsuguda | 63 | 5,300 | +500 | Shyam Metaliks & Energy has resumed offering pellets in domestic market after going through a maintenance shutdown. Current offers are at INR 5,300/MT. |
| Durgapur | 63 | 5,300-5,700 | +200 | All West Benagal based pellet makers- Rashmi Metailks, Shyam Sel & Super Smelters have raised pellet offers by INR 100/MT W-o-W. |
| Jamshedpur | 63 | 5,300 | +200 | Adhunik Metailks has hiked pellet offers by INR 200/MT W-o-W. |
| Raipur | 63 | 5,300-,5,500 | +200 | Amid increased P-DRI prices, pellet offers have also gone up. |
| Bellary | 63 | 6,300-6,500 | +50 | Minera Steel & Power raised pellet offers by INR 100/MT W-o-W. MSPL continues to hold iron ore offers this week. |
| Kandla** | 63 | 6,600 | -150 | Global iron ore fines (Fe 62%) index has moved down by USD 6/MT W-o-W. With imported lump offers moving down, Jindal SAW pellet offers have also come down by INR 150/MT W-o-W. |
*loaded to wagons
**delivered
Source: SteelMint Research
Trade-wise:
1. MSPL pellet (Fe 65%) pellet offers remain unchanged at INR 7,000/MT
2. Bilaspur based Rashi Steel sold 2,000 MT pellets at INR 5,100/MT in Bilaspur. Current offers are at INR 5,200-5,250/MT (ex-plant).
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