Today, domestic billet market opened with slight price corrections of INR 100-200/MT against last day (Saturday) trade.
Billet offers corrected on account of weak buying interest by mill operators. Market players are assuming billet offers to remain volatile amid subdued trade activities.
On the other hand, sponge offers in today’s trade have risen by INR 100-400/MT due to supply crunch amid few plants closure in south and east India.
Trade-wise
1. RS Ispat is offering billet at INR 20,600/MT ex-plant, Raigarh and INR 21,100/MT landed to Raipur.
2. Traders and agents reported, logistics (heavy vehicle) shortage pursuing from east (Durgapur and Rourkela) to north India. This in turn is impacting billet supply to north (Punjab) and has increased selling pressure on east based billet makers.
3. Bhaskar Steel has reduced billet offers by INR 100/MT to INR 19,900/MT ex-Bonai, Odisha
4. Continuous power cut in Raipur during night hours in industrial areas is mostly affecting ingot/billet production since 10-12 days. Sources mentioned, while power supply in industrial area to get full fledged, billet offers may start to fall.
5. Following price stability in central & east India, billet offers in south also remain unchanged in today’s opening trade.
Billet prices as on 27 Jun’16
| Region | Particular | Size/Grade | Prices | D-O-D | W-o-W |
| North India | Ex-Mandi Gobindgarh | 125×125 mm, IS 2831 | 24,200 | -100 | +100 |
| East India | Ex-Durgapur | 125×125 mm, IS 2831 | 20,350 | -100 | -200 |
| Ex-Jharsugda | 125×125 mm, IS 2831 | 19,900 | -200 | -300 | |
| Ex-Kolkata | 125×125 mm, IS 2831 | 20,750 | -100 | -200 | |
| Ex-Rourkela | 125×125 mm, IS 2831 | 19,900 | -200 | -300 | |
| Central India | Ex-Bhilai | 125×125 mm, IS 2831 | 20,900 | -150 | -200 |
| Ex-Raigarh | 125×125 mm, IS 2831 | 20,600 | -100 | -100 | |
| Ex-Raipur | 125×125 mm, IS 2831 | 20,900 | -150 | -200 | |
| West India | Ex-Ahmedabad | 125×125 mm, IS 2831 | 23,000 | -100 | -400 |
| Ex-Goa | 125×125 mm, IS 2831 | 21,700 | 0 | 0 | |
| Ex-Jalna | 125×125 mm, IS 2831 | 22,400 | 0 | -200 | |
| Ex-Mumbai | 100×100 mm, IS 2831 | 22,500 | -100 | -400 | |
| South India | Ex-Chennai | 125×125 mm, IS 2831 | 22,500 | 0 | +300 |
| Ex-Hyderabad | 125×125 mm, IS 2831 | 22,500 | 0 | +300 |
Basic Prices in INR/MT
Source: SteelMint Research
Leave a Reply