Indian DRI, billet and rebar update – 15 Mar

Indian secondary steel market remained volatile today and the prices have fluctuated by INR 100-500/t, d-o-d basis.

According to the assessment, the domestic sponge iron and billet prices have seen a slight fluctuation of INR 100-400/t in most of the markets. Meanwhile, the rebar market has noticed a slight downfall of INR 100-200/t in Rourkela, Ahmedabad & Raigarh, however, prices were supportive in Northern & Eastern regions and moved up by INR 300-500/t.

Market sources are expecting prices to remain volatile on moderate demand, however, due to strike announced by Punjab, Northern India-based participants may result in strengthening prices temporarily.

Raw Material

• BMM Ispat sold around 5,000 t pellets in nearby market at INR 11,500/t exw Bellary.

Semi Finished

• Indian sponge iron export offers to Bangladesh remained strong & hovering at $405-410/t CFR Chittagong.
• Induction grade billet export offers further surge to around $535/t exw Durgapur, equivalent to $560/t CPT Nepal. However inquiries remain limited, as per Kolkata based exporters.
• Raipur based sponge manufacturers have raised offers by INR 100/t to INR 27,500-27,700/t exw, however deals from outside reported at INR 27,300-27,500/t on FoR basis.
• Neo Metaliks in Durgapur has reported steel grade pig iron trades at around INR 35,600/t exw.
• Raigarh based steel manufacturers getting pig iron offers from Odisha at INR 37,200/t FoR Raigarh.
• Jharsuguda, Odisha based sponge supplier offered FeM 80 P-DRI at around INR 27,500/t FoR Raipur.
• Mahavir Ferro Alloys sold around 500 t billet (125×125 mm) at INR 38,500/t exw Rourkela.
• Bhaskar Steel and Ferro Alloy Ltd has offered billet at INR 38,200-38,300/t exw Badtumkela.
• BIOP Steels in South India has offered FeM 80 C-DRI lumps at INR 26,000/t exw Bellary (Up by INR 100/t).
• BMM Ispat offered FeM 80 P-DRI lumps at INR 25,400/t exw Bellary & around 2,500 t deals reported in nearby region.

Rebar (12 mm)

• GK TMT is offering at INR 45,700/t exw Raipur (Up by INR 200/t).
• Shrishtii TMT offers reported at INR 43,000/t exw Raigarh.
• Century TMT is offering at INR 44,200/t exw Muzaffarnagar (Up by INR 400/t).
• Mono TMT offers unchanged at INR 47,300/t FoR Ahmedabad.
• Kalika TMT kept offers stable at INR 47,200/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers hovering at $595/t exw Durgapur, equivalent to $620-625/t CPT Nepal.
• Trade discounts in Raipur wire rod dropped to INR 700-900/t, following which trade reference price up by INR 100/t to INR 42,400-42,600/t exw. Also, offers in Durgapur increased by INR 100/t to INR 42,800-43,000/t exw.
• Raipur based heavy structure steel manufacturers, increase the base price of 150 mm Channel by INR 500/t to INR 44,000/t, and given trade discount by INR 1,100-1,400/t, current trade reference price of 200 mm Angle is at INR 45,600-46,000/t exw.

Reference prices as on 15th Mar’21