- Sluggish steel demand prompts reduction in offers
- Buyers choose to wait-and-watch amid price uncertainty
The Indian sponge iron market remained under pressure on 6 October 2025, with prices declining by INR 50-350/tonne (t) across regions. However, Ramgarh saw a notable price decrease of INR 350/t.
Trading activity stayed muted, with around 11,000 t of deals confirmed, primarily limited to need-based procurement. Bulk bookings were largely avoided amid ongoing market uncertainty.
Sluggish demand in the downstream steel sector forced sellers to trim offers, though buyer resistance was minimal. Enquiries were sparse, and purchases remained confined to immediate needs, highlighting a lack of confidence in price stability.
Weakness persisted across semi-finished and finished steel segments, while overall market sentiment was further dampened by poor demand and liquidity issues. As a result, most participants adopted a cautious, wait-and-watch approach, limiting any upward price momentum.
With confidence low and visibility on recovery limited, the market outlook remains uncertain as both buyers and sellers continue to tread carefully.
Rationale
Prices have been derived based on data sets of transactions, offers, bids, and indicative prices. Transactions are considered as T1 and given a weightage of 50%, whereas other data sets are considered T2 and given a weightage of the balance 50%.
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