- Sponge iron prices decline as demand slows
- Sellers lower offers amid weak market activity
Indian sponge iron prices weakened across key markets on 15 September 2025, as muted demand and lack of price clarity continued to weigh on sentiment. Most trades were concluded at the lower end of prevailing ranges, with limited regional variation in activity.
Market sentiment
The market remained under selling pressure, with weak downstream demand compelling sellers to trim offers despite resistance. Buyers maintained a cautious stance, avoiding bulk deals and restricting procurement to urgent requirements. With no strong cues emerging from semi-finished or finished steel segments, overall sentiment stayed bearish.
Trade activity:
Confirmed trades totaled around 8,800 t, underscoring limited booking volumes and subdued spot market participation.
Price movements:
With downstream steel demand yet to show signs of recovery and buyers adopting a wait-and-watch approach, sponge iron prices are likely to remain under pressure in the near term.
- PDRI prices decline by INR 100-200/t in most regions, except in Raipur, where the decline was limited to INR 50/t.
- In contrast, CDRI prices in Ramgarh increased by INR 500/t, supported by some localized demand.
- Southern markets remained relatively stable, with minimal fluctuations observed.
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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