Indian DRI, billet and re-bar update – 30 Sep

The Indian induction furnace (IF) steel market saw a sharp surge in prices and offers on 30 Sep’21. Steel prices of the mid-sized mills increased by up to INR 2,500/t ($34), d-o-d.

As per SteelMint assessment, semi-finished (including sponge iron and billet) offers surged by INR 650-2,500/t throughout the country following a major price hike of around INR 2,500/t in Hyderabad’s billet market.

Moreover, rebar prices also surged by INR 500-2,400/t across locations with a sharp rise in the range of INR 2,000-2,400/t seen in the eastern, central and southern regions.

However, participants observed slow trading in a buoyant market due to panic situations, as a few buyers held their buying positions.

Semis finished

• IF route billet export offers increased by $20-25/t to around $610-615/t exw Durgapur, equivalent to $640/t CPT Nepal, via road delivery. However, one rake deal reported recently from Odisha at around $600/t (loaded on to rake) exw, equivalent to $625/t CPT Nepal.
• Steel grade pig iron offers in Durgapur surged by INR 2,000/t to around INR INR 45,000-45,500/t exw. Supply shortage, higher coal prices continued support pig iron prices in domestic market.
• Sponge P-DRI (FeM 80%) offers in Raipur rallied by INR 1,800/t & deals reported at around INR 32,900-33,000/t on exw & FoR Raipur basis.
• Jharsuguda, Odisha based sponge supplier offered FeM 79 P-DRI at around INR 33,000/t FoR Raipur.

Re-bar (12 mm)

• Goel TMT(Fe 500D) is offering at INR 49,800/t exw Raipur(Up by INR 1,300/t).
• Shrishtii TMT offers reported at INR 48,700/t exw Raigarh.
• Swarup TMT is offering at INR 48,000/t exw Muzaffarnagar (Up by INR 1,000/t).
• Mono TMT offers reported at 48,450/t FoR Ahmedabad.
• Kalika TMT is offering at INR 49,500/t exw Jalna (Up by INR 1,500/t).

Wire rod and structure

• Trade reference wire rod prices in Raipur increased by INR 4,500/t to INR 51,800-52,000/t exw, due to surge in base offers and fall in trade discounts. Also, prices in Durgapur climbed by INR 3,000/t to INR 49,500-50,000/t exw.
• Heavy structural steel, base price of 150 mm channel is increased by INR 1,800/t at INR 51,000/t in Raipur with firm trade discount of around INR 500-700/t. Trade reference price of 200 mm angle is at INR 53,100-53,600/t exw.