Indian DRI, billet and rebar update – 16 Feb

Spot steel trades in Indian secondary steel market have remained supportive and prices have moved up to INR 800/t ($11), d-o-d.

As per the assessment, prices for domestic sponge iron have increased by INR 100-400/t with a major hike in prices of around INR 600-700/t were noticed in the Southern region (Hyderabad & Bellary). Also, billet offers surged by INR 200-500/t nationwide. In line with this, rebar prices moved up by INR 100-800/t across major locations.

The sponge & billet manufacturers in Central & Eastern India are optimistic about market outlook as they are packed with good orders on recent rising prices. Also, as per re-rollers the demand for finished goods has improved since a few days, hence they are expecting prices to remain supported.

Raw Material

• Karnataka based BMM Ispat offered raw pellets at INR 10,600/t exw Bellary (Up by INR 300/t).
• Singhal Steel, Raigarh based manufacturer has offered 60-14 silico manganese at INR 67,500/t exw.

Semi Finished

• Induction grade billet export offers up by $5-7/t to $490-493/t exw Durgapur, equivalent to $515-520/t CPT Nepal.
• Raipur based sponge P-DRI manufacturers have raised offers by INR 200/t to INR 24,300-24,400/t exw & sufficient deals reported.
• Durgapur based Neo Metaliks has further raised steel grade pig iron price by INR 500/t to INR 33,000/t exw.
• Raigarh based Singhal Steel offered billet at INR 35,200/t exw (Up by INR 300/t).
• Wada (Maharashtra) based mills sourcing FeM 80 C-DRI lumps from Bellary at around INR 26,200/t on FoR basis.
• BIOP Steels in South India has offered FeM 80 C-DRI lumps at INR 24,500/t exw Bellary (Up by INR 500/t).
• BMM Ispat offered FeM 80 P-DRI lumps at INR 24,500/t exw Bellary (Up by INR 800/t).

Rebar (12 mm)

• GK TMT is offering at INR 42,600/t exw Raipur (Up by INR 300/t).
• BS TMX offers reported at INR 40,400/t exw Raigarh (Up by INR 900/t).
• Rathi Stelmax TMT is offering at INR 42,500/t exw Delhi/NCR.
• Wonder Gold TMT offers assessed at INR 40,200/t exw Muzaffarnagar (Up by INR 200/t).
• Mono TMT is offering at INR 43,400/t FoR Ahmedabad (Up by INR 300/t).
• Kalika TMT unchanged offers to INR 43,800/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers increased to around $545/t exw Durgapur, equivalent to $570/t CPT Nepal.
• Trade discounts in Raipur wire rod drop by INR 100/t to INR 700-900/t & trade reference price up by INR 300/t to INR 39,500-39,700/t exw. Also, prices in Durgapur gain by INR 200/t to INR 39,300-39,500/t exw.
• Raipur based heavy structure steel manufacturers, kept stable their base price at INR 40,300/t, and given trade discount by INR 900-1,300-/t, current trade reference price of 200 mm Angle is at INR 41,900-42,300/t exw.

Reference prices as on 16th Feb’21