India: Sponge iron prices ease as buying interest stays weak

• Buyers wait for further price corrections
• Weak finished steel demand weighs on prices

Indian sponge iron prices declined by INR 100-400/tonne (t) d-o-d across regions on 12 May. In the benchmark Raipur market, prices remained largely steady at INR 25,400/t ex-works. However, overall trading activity was subdued amid weak participation.

Market sentiment stayed cautious, with procurement mainly limited to immediate requirements as buyers anticipated further price corrections. Continued weakness in finished steel demand kept pressure on raw material prices, limiting aggressive buying interest across regions. Participants largely adopted a wait-and-watch approach, which restrained overall trade momentum.

BigMint recorded trade volumes of around 8,100 t, down from approximately 12,700 t in the previous session.

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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