Indian DRI, billet and rebar update – 18 Dec

Indian secondary steel market continued to remain supportive and the prices increased up to INR 1,200/t ($16) today.

As per daily SteelMint’s assessment, billet prices surged by INR 200-500/t & sponge iron prices have moved up by INR 100-250/t.

In context to finished steel, rebar prices rallied by INR 100-1,200/t in which a sharp hike of INR 800-1,200/t was registered in Hyderabad, Bangalore and Muzaffarnagar, while in remaining markets the price rise is about INR 100-600/t, d-o-d.

Participants expect secondary steel prices to remain strong due to balanced production & demand, increasing raw material prices globally.

Raw Material

• Karnataka based BMM Ispat offered raw pellets at INR 12,000/t exw Bellary.

Semi Finished

• Sponge makers have reported healthy deals for P-DRI at INR 25,500-25,600/t exw & FoR Raipur, Central India.
• Induction grade billet export offers increased by $5/t to $515-518/t exw Durgapur, equivalent to $540-545/t CPT Nepal. However, no major deals reported due to sharp surge in prices.
• Ind Synergy (Raigarh) offered P-DRI at INR 25,000/t & billet at INR 37,300/t exw.
• Visa Steels kept offers unchanged for steel grade pig iron at INR 33,500/t exw Jajpur.
• Odisha based manufacturer, Mahavir Ferro Alloys offered billet at INR 37,200/t exw.
• Aloke Steel Industries (Jharkhand) offered FeM 80 P-DRI lumps at INR 26,000/t exw.
• BIOP Steels in South India has offered FeM 80 C-DRI lumps at INR 27,000/t exw Bellary

Rebar (12 mm)

• GK TMT is offering at INR 44,500/t exw Raipur (Up by INR 500/t).
• Shrishtii TMT offers reported at INR 41,900/t exw Raigarh (Up by INR 100/t).
• Rathi Stelmax TMT kept offer stable at INR 44,250/t exw Delhi/NCR.
• Vinayak TMT offer reported at INR 46,800/t FoR Ahmedabad.
• Shree OM TMT offers reported at INR 45,800/t exw Jalna.
• ARS 550 D is offering at INR 48,300/t exw Chennai.

Wire Rod and Structure

• Mid scale mills wire rod export offers up by $5-10/t to around $585/t exw Durgapur, equivalent to $610/t CPT Nepal, for commercial grade.
• Trade discounts in Raipur wire rod is hovering at INR 300/t & base offers up by INR 500/t to INR 42,800/t exw. In addition, Durgapur plants raised offer by INR 200/t to INR 42,600-42,800/t exw.

Reference prices as on 18th Dec’20