With imported lump offers to India declining amid fall in Chinese spot iron ore prices, domestic pellet offers in west India have also come down this week. Jindal SAW has reduced pellet offers by INR 100/MT W-o-W. Presently Fe 63% pellets are offered at INR 6,500/MT, delivered Kandla.
Chinese spot iron ore fines (Fe 62%) index dropped to USD 81/MT, CFR China on 27 Mar’17 hitting 2-month’s low.
However in other regions, pellet prices continue to remain stable with some fluctuations seen in central India. Pellet offers in central India have come down slightly this week on the backdrop of lesser buying interest from pellet sponge manufacturers. P-DRI offers in Raipur are currently at around INR 17,500/MT (ex-works).
Presently offers for Fe 63% grade pellets in Raipur are hovering in the range of INR 5,200-5,300/MT against last week offers of INR 5,300-5,400/MT.
Indian Pellet prices as on 28 Mar’17
|
City |
Grade (Fe %) | Basic Prices in INR/MT | W-o-W |
Remarks |
| Barbil* | 63 | 4,900-5,000 | = | JSPL & Arya Iron & Steel continue to hold offers. |
| Jharsuguda | 63 | 5,400 | +100 | Shyam Metaliks & Energy has raised offers this week. Market participants shared that few deals have been executed at INR 5,300/MT. |
| Durgapur | 63 | 5,200-5,700 | = | Rashmi Metaliks is offering pellets at INR 5,200-5,300/MT. Shyam Sel & Super Smelters pellet offers are at INR 5,700/MT. |
| Raipur | 63 | 5,200-5,300 | -100 | Trade sources reported lesser inquiries for pellets this week. |
| Bellary | 63 | 6,300-6,500 | = | Southern India based pellet makers keep offers unchanged this week. Fe 65% pellet offers are at INR 7,000/MT. |
| Kandla** | 63 | 6,500 | -100 | Jindal SAW has reduced pellet offers over decline in global iron ore prices. |
*loaded to wagons
**delivered
Source: SteelMint Research
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