Indian billet export prices were noted to have witnessed a decent rise in a recent deal concluded for China. According to sources reported to SteelMint, a state-owned Indian mill was reported to have booked 20,000 t billets (150*150mm, 3 SP) for China at $400-405/t, on FoB India basis. The shipment is scheduled from Paradip port on 15 Sep’20.
With this deal, SteelMint’s assessment for Indian billet (150*150mm) export has moved up by $5-10 against last week and is currently at $400-405/t, FoB India.
Last week, another state-owned Indian mill was reported to have concluded 30,000 t bloom deal through a tender at $390-395/t, on FoB India basis. According to trade sources, the tender fetched slightly low price due to 100% advance payment terms. Today, the company has floated another 60,000 t bloom tender for end-Sep’20 shipments. The tender due date is 13:00:00 hrs of 03 Aug’20.
SteelMint’s outlook
During a conversation with market participants, SteelMint learned and believe that the recent Indian billet deal is been concluded at higher price levels, due to the following facts-
- Till yesterday, rebar futures in China were trending downwards and settled at RMB 3,723/t, down RMB 24 against last week’s closing. Today steel futures were noted to settled at RMB 3,724/t.
- The Chinese bids are either unchanged or have risen marginally against last week and are currently at $420-422/t, CFR levels.
Indian tenders in the pipeline-
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