Indian billet offers dip further by INR 100-500/MT on account of seasonal poor off-take.
Today, domestic billet offers have fallen further by INR 100-500/MT across India. Offers are falling continuously due to mismatched demand supply. At present, billet manufacturers are aggressive to sell material but buyers are not taking interest with an expectation of further fall in prices.
Sponge offers today have also corrected marginally by INR 100-200/MT due to less number of sellers at lower prices.
Billet prices as on 29 Jun’16
| Region | Particular/Delivery | Size/Grade | Prices | Change | W-o-W |
| North India | Ex-Mandi Gobindgarh | 125×125 mm, IS 2831 | 23,700 | – 200 | -300 |
| East India | Ex-Durgapur | 125×125 mm, IS 2831 | 20,000 | – 100 | -350 |
| Ex-Jharsugda | 125×125 mm, IS 2831 | 19,600 | – 200 | -400 | |
| Ex-Kolkata | 125×125 mm, IS 2831 | 20,400 | – 100 | -350 | |
| Ex-Rourkela | 125×125 mm, IS 2831 | 19,600 | – 200 | -400 | |
| Central India | Ex-Bhilai | 125×125 mm, IS 2831 | 20,650 | – 50 | -250 |
| Ex-Raigarh | 125×125 mm, IS 2831 | 20,200 | – 300 | -400 | |
| Ex-Raipur | 125×125 mm, IS 2831 | 20,650 | – 50 | -250 | |
| West India | Ex-Ahmedabad | 125×125 mm, IS 2831 | 22,800 | – 100 | -100 |
| Ex-Bhavnagar | 125×125 mm, IS 2831 | 22,600 | – 100 | -100 | |
| Ex-Goa | 125×125 mm, IS 2831 | 21,700 | 0 | 0 | |
| Ex-Jaipur | 125×125 mm, IS 2831 | 22,700 | – 200 | -350 | |
| Ex-Jalna | 125×125 mm, IS 2831 | 22,200 | 0 | -200 | |
| Ex-Mumbai | 100×100 mm, IS 2831 | 22,200 | 0 | -400 | |
| South India | Ex-Chennai | 125×125 mm, IS 2831 | 21,950 | – 550 | -250 |
| Ex-Hyderabad | 125×125 mm, IS 2831 | 22,500 | 0 | 500 |
Basic Prices in INR/MT
Source: SteelMint Research
Highlights
1. Billet supply from central India has became viable to south market. This may lead to fall in semis prices within south India.
2. Traders based in Gobindgarh (Punjab) reported that billet manufacturers from east (Durgapur & Rourkela) are providing discount on bulk purchases. They also mentioned that availability of billet has improved in the local market.
3. Shyam Sel (Durgapur) has reported no export buying post imposition of 20% import duty on billet by Bangladesh government.
4. Patra demand poor in rainy season, which may further impact billet prices, reported billet suppliers to north India.
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