Domestic billet market again heads towards downward direction on account of lull buying activities. However, post MIP imposition, market had witnessed a good recovery in prices.
Today, billet prices have declined by INR 100-500/MT; registering a major price corrections of INR 500/MT in south market (Hyderabad). However, few markets including Mumbai have shown price rise of INR 200-300/MT.
Presently, 125*125 mm billet prices are hovering in the range of INR 20,600-23,900/MT.
MS billet prices as on 16 Feb’16
| Particular | Prices | D-o-D | W-o-W |
| Ex-Mandi Gobindgarh | 25,000 | -150 | -650 |
| Ex-Durgapur | 20,950 | -150 | -1,550 |
| Ex-Jharsugda | 20,600 | -200 | -1,200 |
| Ex-Rourkela | 20,600 | -200 | -1,200 |
| Ex-Raipur | 21,550 | -100 | -1,300 |
| Ex-Jaipur | 23,900 | – 100 | -1,000 |
| Ex-Jalna | 24,100 | +200 | -400 |
| Ex-Mumbai | 23,800 | +300 | -850 |
| Ex-Chennai | 22,600 | 0 | -550 |
| Ex-Hyderabad | 23,000 | -500 | -1,500 |
Prices in INR/MT
Source: SteelMint Research
Major trade dynamics
1. Few billet deals from Durgapur to Mandi Gobindgarh sealed at around INR 21,000-21,100/MT, reported a manufacturer located in Durgapur. Freight via road is assessed at INR 2,500/MT.
2. Raipur based billet manufacturers sold material to U.P (Muzaffarnagar and Ghaziabad). Freight through road is approx INR 2,200-2,300/MT.
3. Maharashtra based mill operators are buying billet from the local market. In case, prices decline further in central and east India, billet supply will become viable to west India (Maharashtra).
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