On 18 Dec, 2013, the exporter had offered 30,000 MT Steel grade Pig iron (Si 1.0% max) through an export tender. Technical bids opened on 02 Jan, 2014 and Prime Carbon GmbH (Switzerland) was the only participant.

RINL opened price bids the very next day, which was earlier scheduled for 06 Jan, 2014.  It had received bid at USD 390.33/MT FoB for 30,000 MT.

RINL finalizes the Deal at a Higher Price

In contrast to anticipations at around USD 392-393/MT FoB, RINL received a low bid and asked the Switzerland based trader for a better price.

After a week, RINL has finally closed the deal at USD 392/MT FoB in line with the last Indian Pig iron export price received by MMTC at USD 392.33/MT FoB. INR is at 62 against USD and freight charges at USD 21-22. Shipment of the material will take place by 28 Feb, 2014 from Vizag Port.

As per SteelMint analysis, it is expected that the trader might approach end users based in Southeast Asia for exports and look for a price at around USD 419-420 CFR.

RINL has received a realization higher by around INR 500/MT from export of Pig Iron in comparison to domestic offers at INR 23,500/MT (basic).