- Weak finished steel demand weighs on overall sentiment
- Trade volumes fall 50% d-o-d as buyers avoid bulk procurement
The domestic sponge iron market showed a downward trend on 7 October 2026, with prices falling by INR 50-400/t d-o-d across regions. The eastern region saw the sharpest correction. BigMint’s PDRI (Raipur) index settled at around INR 29,200/t, down about INR 150/t from the previous day, mainly because of dull demand and limited buying activity.
Weak demand pushed sponge iron manufacturers to cut their offers, but even lower prices failed to attract buyers. Purchases stayed need-based, and buyers remained cautious, adopting a wait-and-watch approach until the market gives clearer direction. High raw material and input costs continued to squeeze sellers’ margins, while sluggish finished steel demand further dampened overall buying sentiment.
BigMint recorded trades of around 5,000 t, roughly 50% lower than the previous session. The drop in volume was mainly due to limited market participation and weak finished steel demand, which kept buyers from procuring material in bulk. As a result, overall trade volumes softened across regions.
Rationale
Prices have been derived based on transactions, offers, bids, and indicative price data sets. Transactions are considered as T1 and given aweightage of 50%, whereas other data sets are considered as T2 and given a weightage of the balance 50%.
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