Indian Billet prices has showed some resistance and dropped upto INR 1,000/MT (USD 17/MT) in last one week owing to subdued demand in Re-bars & Structures. Current offers for commercial grade Billet are in the range of INR 32,000-33,400/MT (USD 540-570/MT) on Ex-works basis. In India, Odisha is offering Billet at the lowest price i.e. at around INR 32,000-32,100/MT.
|
Load Cities |
Domestic Prices |
Truck Freight to unload Cities |
|
|
|
|
Gaziabad |
Mandi Gobindgarh |
|
Rourkela |
32,100 |
2,900 |
3,600 |
|
Jharsugda |
32,000 |
– |
– |
|
Raigarh |
32,300 |
2,600 |
3,000 |
|
Raipur |
32,700 |
2,700 |
3,000 |
|
Durgapur |
33,400 |
– |
2,600 |
|
Jalna |
33,100 |
– |
– |
|
Hyderabad |
33,500 |
– |
– |
|
Wada |
33,400 |
– |
– |
|
Mandi Gobindgarh |
36,500 |
– |
– |
|
Gaziabad |
35,100 |
– |
– |
|
Kutch |
34,200 |
– |
2,500 |
Commercial grade Billet
Basic Prices; Excise and Taxes Extra
Freight charges for reference
Note: USD 1 = INR 58.5
Indian domestic Billet prices looks to stabilize at current levels considering restricted supply of Iron ore, after the Supreme Court’s order on partial mining ban in Odisha on 16 May, 2014. Steel prices have moved up sharply since then.
With Iron ore supply remain still restricted from Odisha, Sponge iron prices should find support.
Trade sources confirmed SteelMint that manufacturers based in Chhattisgarh & Odisha are getting better realizations in other markets like Punjab & UP. Some of the big manufacturers based in this region are selling significant quantities to other states.
Indian Export Offers too high compared to Global Market
Higher prices in domestic market have made manufacturers to raise their offers in global market. Currently, offers are too high as compared to global market.
“At current offers there is hardly any demand for Billet from any country. Global prices are much cheaper than Indian offers, which will not be less than USD 580-590/MT FOB (East/West Coast). There is no scope of exports from India at the moment,” said a manufacturer based in western region of India.
On similar lines, re-rollers based in Nepal who are dependent on imported Billet from India mentioned that offers have gone up from Indian suppliers. Current offers are in the range of USD 560-570/MT Ex-Works Odisha (loaded to Wagons) for good quality Billet. Freight to nearest India-Nepal border by railway would be INR 1,800/MT (USD 30/MT).
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