- Prices declined across the regions
- Need-based procurement weighs on trade volumes
India’s sponge iron prices declined by INR 50-300/t d-o-d across major regions amid subdued demand conditions and weaker market sentiment. In the benchmark Raipur market, prices fell by INR 150/t to INR 25,100/t ex-works. Although sellers lowered offer prices to improve enquiries and stimulate bookings, buying interest remained limited throughout the day.
Market activity in the sponge iron segment slowed considerably, as most buyers had already secured adequate material during the previous few sessions when procurement activity was relatively stronger. Consequently, fresh bookings were largely need-based, with participants restricting purchases to immediate requirements only. Similar trends were observed in the semi-finished and finished steel segments, where earlier buying activity led to subdued procurement today.
BigMint recorded sponge iron trade volumes of around 6,100 t, down sharply from approximately 9,800 t in the previous session, reflecting weaker trading activity across markets.
Rationale
Prices have been derived based on transactions, offers, bids, and indicative price data sets. Transactions are considered as T1 and given a weightage of 50%, whereas other data sets are considered as T2 and given a weightage of the balance 50%.
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