Rashtriya Ispat Nigam Limited (Vizag Steel) had floated tender for export of 22,016 MT bloom. The material offered comprised of 11,008 MT (four rakes) each of 150×150 mm and 200×200 mm bloom. The material has specifications IS 2830 C20MMn.
The bid due date for the tender was 20 Apr’18 and bid validity was till 27 Apr’18. The material delivery is scheduled in 15th May’18.
According to market sources report to SteelMint, the steel maker has finalised the tender for 150*150mm bloom, however 200*200mm bloom did not receive bids.
As per market participants report to SteelMint, the company has concluded the tender at around USD 510-515/MT, ex-mill and the material booked is about two rakes.
Trade participants mentioned that the response received to the tender is overwhelming as 150*150mm sized bloom is comparatively less popular among Nepal buyers and they generally prefer 90*90mm/100*100mm.
Also shortage of billets with Nepal based steel mills owing railway rake availability issues has resulted in active billet buying from India.
It is expected that the steel maker may float another tender for billet & wire rod export in a week’s time.
Presently, domestic price assessment for 125*125mm stands at INR 36,600-36,800/MT (ex-Durgapur, GST @ 18% extra).
Indian billet exports to Nepal climbed 74% in CY17
According to data maintained with SteelMint, India’s billet exports to Nepal increased 74% Y-o-Y from 0.61 MnT in CY16 to 1.06 MnT in CY17. Total billet exports from India summed up to 2.78 MnT with Nepal occupying the largest share of 38% followed by Indonesia and Sri Lanka at 15% and 10% respectively.
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