Domestic pellet prices in eastern India continued its upward movement this week. Pellet prices in Durgapur have witnessed an increased up to INR 250/MT W-o-W. Increase in P-DRI prices, improved trades and less pellet availability in merchant market has resulted in a hike in pellet prices.
In Durgapur (eastern India) pellet price assessment has increased by INR 250/MT W-o-W. Reference pellet price assessment for Durgapur stands at INR 6,000-6,100/MT (delivered) this week. P-DRI prices have increased sharply by INR1,200/MT to INR 21,500/MT (delivered) against last week’s assessment which was INR 20,300/MT.
A Durgapur based pellet maker heard to have concluded a deal for 5,000 MT pellets at INR 6,100/MT (delivered), GST extra.
Also Jharsuguda based pellet maker – Shyam Metaliks & Energy is not offering material in merchant market owing to increased captive consumption. This has resulted in less material availability in the merchant market.
However, in central and southern Indian markets, pellet prices have declined by upto INR 100/MT W-o-W.
Indian pellet market update: Week 18, 2018
1. Central India (Ex-Raipur) pellet prices assessment for this week is at INR 6000/MT.Market participants mentioned dull buying activities. P-DRI prices assessed at INR.20,200./MT(basic) compared to INR 19,800 /MT a week ago.
2. Southern India based pellet makers have reduced offers following the decline in P-DRIprices.Current pellet assessment stands at INR 6,800/MT.
3. Indian pellet export price assessment stable amid Chinese holidays. Fe 64% pellets stand at USD 109/MT, FoB India.
Indian Pellet Reference prices as on 1st May’18-
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Barbil* | 63 | 5,400 |
| Durgapur | 63 | 6,000 – 6,100 |
| Jamshedpur | 63 | 4,900-5,100 |
| Raipur | 63 | 6,000 |
| Bellary | 63 | 6,800 |
| Kandla** | 63 | 6,650 |
*loaded to wagons
**delivered
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research
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