Indian Billet prices that boosted sharply in the month of Jan & Feb, 2014 owing to over export & demand in North India, seems to be stable for the current month. Export demand from Bangladesh & Nepal remains flat in East India, whereas from Middle East, it remains absent in Gujarat. North India buying from eastern belt remains under pressure as low viability discourages buying from other states.
SteelMint learned from the sources, a Gujarat based Billet manufacturer is exporting Billet at around USD 535/MT CFR Qatar. The company has received order of 5,000 MT material few months back which is to be completed till end of March. On the other hand, they haven’t received any new orders for the material.
[su_quote cite=”mentioned Manufacturers from Durgapur“]Prices may correct further owing to tapering viability to nearby states which has build pressure on Billet prices. In the preceding month, we have sold MS Billet to Mandi, Chennai, Bhiwadi and other states. At this juncture, there is no purchase from respected areas owing to lack of finished steel demand and high prices.[/su_quote]
Presently, Billet is offered at around INR 31,000/MT Ex-Kolkata and at INR 34,400/MT FoR Mandi. Whereas, if buyers will purchase local Billet; it will cost to about INR 34,500/MT same day delivery basis.
Current domestic Billet prices are in the range of INR 29,300-33,000/MT (USD 476-537/MT) on Ex-works basis. Major market participant believes that power shortage and low production will sustain the Billet prices in March.
According to exporters, Billet of IS 2830 grade continues to export from Durgapur to Nepal & Bangladesh at INR 30,500-30,800/MT (USD 496-500/MT) on Ex-Durgapur basis.
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