Indian DRI, billet and rebar update – 2 June

Spot trades in the Indian secondary steel market found support on improved bids resulting from the rise in iron ore prices at OMC’s auction. Mid-sized plants raised offers by up to INR 1,200/t ($16) on a d-o-d basis.

The semi-finished steel market (including sponge iron and billet) witnessed an upward movement in prices by INR 200-1,200/t across many locations in the country. However, a major increase of INR 1,100-1,200/t was seen in the central and eastern regions.

In addition, induction furnace grade rebar offers also moved up by INR 200-1,100/t, with a significant hike of INR 900-1,100/t witnessed in Raigarh, Raipur and Rourkela.

Market sources reported that with rise in offers, trades improved which sent prices northwards.

Semi Finished

• Induction grade billet export offers rally by $10-15/t to around $585/t exw Durgapur, equivalent to $610-615/t CPT Nepal.
• Neo Metaliks in Durgapur has raised steel grade pig iron price by INR 500/t to INR 38,500/t exw.
• Sponge P-DRI prices in Raipur increased by INR 700/t and trades reported at INR 30,600-30,700/t as against offers of INR 30,800-30,900/t exw & FoR basis.
• Jharkhand based manufacturers offered billet at INR 42,500/t and sponge C-DRI (60:40) at INR 31,000/t exw Ramgarh.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 29,000/t exw Bellary (Up by INR 700/t).

Rebar (12 mm)

• GK TMT is offering at INR 48,500/t exw Raipur (Up by INR 200/t).
• Metalics 550D TMT offers reported at INR 47,500/t exw Sambalpur (Up by INR 800/t).
• Rathi Stelmax TMT offers reported at INR 49,500/t exw Delhi/NCR.
• Century TMT worked in around 500 t at 47,800/t exw Muzaffarnagar for near by region.
• Mono TMT is offering at INR 49,150/t FoR Ahmedabad (Up by INR 200/t).
• Polaad TMT offers stable at INR 49,000/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers hovering at $635/t exw Durgapur, equivalent to $660-665/t CPT Nepal, via road delivery.
• Trade discounts for wire rod in Raipur reported at INR 200-400/t & base offers up by INR 400/t to INR 47,000/t exw. Also, prices in Durgapur rose by INR 700/t to INR 46,000-46,300/t exw.
• Raipur based heavy structure steel manufacturers, increased the base price of 150 mm channel by INR 1,000/t to INR 46,800/t and given trade discount by INR 300-600/t. Trade reference prices of 200 mm angle are at INR 49,200-49,500/t exw.

Reference prices as on 2nd June’21