SteelMint’s billet index rose by INR 600/tonne (t) to INR 48,150/t exw-Raipur on 13 January, 2023.
Billet prices increased on active buying. Moreover, trade in semi-finished and finished long steel remained strong. The market in north India saw positive sentiments today and had a positive impact on the Raipur market.
Transactions of around 3,200 t were recorded today in Raipur as against 2,320 t on 12 January.
SteelMint’s daily price assessment for wire rods rose by INR 600/t d-o-d. Meanwhile, prices of rebar increased by INR 500/t, while sponge iron prices increased by INR 300/t.
Raipur wire rod trades were recorded at 1,300 t today as against 1,200 t on 12 January. On the other hand, rebar trades of 5,300 t were recorded as against 1,500 t yesterday.
The conversion spread of the standalone furnaces in Raipur from sponge iron (PDRI) to billets improved by INR 300 to INR 15,800/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 48,100-48,250/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 48,167/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Six offers reported in the trading window and considered as T2 inputs. The average price of these six was INR 48,110/t and given a 50% weightage in the final price calculation.
The final price for billet exw Raipur was at INR 48,139/t, rounded to INR 48,150/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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