MS Ingot prices remained stable last week and market participants expect it to remain firm this week as well over steady raw material prices and limited semi finish production. The week's major highlights are:
- Mandi Gobindgarh: MS Ingot prices remain firm with availability of Scrap which has increased because of limited production of Ingot. Power tariff during night shift has been reduced at a concessional rate of INR 1 per unit from earlier 7.25/unit from 10 pm to 6 pm. However manufacturers have not yet received any bill with reduced tariff.
- Raipur: Sponge Iron prices continue to trade which remain firm with buying from Maharashtra, U.P and local market. SteelMint learned that because of low scrap availability in Maharashtra, Sponge iron's demand has increased in the market. Whereas, many Sponge units (4-7) in Raipur are in maintenance due to lack of Iron ore. Market participants believe that, this week Iron ore's availability will increase and close plants will resume production.
- Raigarh: Sponge availability has also decreased as many units have been shifted to Jindal conversion of Sponge Iron over Iron ore supply by Jindal. Raigarh Sponge iron feeding is presently carried by Rourkela manufacturer at INR 19,700-20,000/MT FoR Raigarh.
- Durgapur: Market continues exporting Billets to Bangladesh at Ex works USD 450-455.
- Re-bar's demand in M.P continues to remain low as border remains closed for sales audit. Central India's major production (around 60%) of Finish long is being supplied to M.P.
- Maharashtra, the biggest producer of Finish long remain subdued as Re-bar prices corrected by INR 500/MT W-o-W similar to South Indian market where Re-bar prices are trading low at INR 400/MT W-o-W.
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