SteelMint’s billet index increased slightly by INR 50/t d-o-d to INR 46,400/tonne (t) exw-Raipur on 14 March, 2023.
Demand for semis and finished long steel remained stable. Prices in north India fluctuated today impacting the market.
Transactions of around 2,800 t billets were recorded today in Raipur as against 3,600 t reported on 13 March.
SteelMint’s daily price assessment for wire rods and sponge iron increased by INR 100/t, while rebar prices fell by INR 100/t d-o-d.
Around 2,500 t of wire rod trades and 4,400 t of rebar deals were recorded in Raipur.
The conversion spread of the standalone furnaces in Raipur from sponge iron (PDRI) to billets stood at INR 14,500/t.
Rationale-
This index has 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%.
- Transactions (T1) – Four trades at INR 46,300-46,500/t was recorded during the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 46,423/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Nine offers reported in the trading window and considered as T2 inputs. The average price of these nine was INR 46,421/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 46,422/t, rounded to INR 46,400/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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