Indian DRI, billet and rebar update – 25 Jan

Indian secondary steel market sentiments turned to be supportive today and prices have increased up to INR 1,000/t ($14), d-o-d.

As per SteelMint’s assessment, sponge iron prices have moved up by 100-300/t & billet by INR 300-1,000/t in which a major hike was noticed in Hyderabad by INR 1,000/t, while in remaining locations prices surged by INR 300-500/t. However, rebar prices have fluctuated by INR 100-500/t across locations on account of moderate demand.

Sources believe that the prices rise may not sustain for long as the global scrap prices are on a continuous downtrend. In addition to it, finished steel demand continues to remain less supportive.

Raw Material

• BMM Ispat sold around 10,000 t pellets in nearby market at INR 10,800-10,900/t exw Bellary

Semi Finished

• Neo Metaliks has reduced steel grade pig iron price by INR 200/t to INR 33,800/t exw Durgapur.
• Raipur based sponge P-DRI manufacturers have raised offers by INR 200/t to INR 24,200/t, however deals reported at INR 24,000-24,200/t exw.
• Visa Steels is offering steel grade pig iron at INR 33,000/t exw Jajpur. (Down by INR 500/t).
• Wada (Maharashtra) based mills sourcing FeM 80 C-DRI lumps from Bellary at around INR 25,200/t on FoR basis.
• Hare Krishna has offered FeM 79-80 C-DRI lumps at INR 24,000/t exw Bellary. However no deals reported from officials.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 23,300-23,500/MT exw Bellary.

Rebar (12 mm)

• BS TMX TMT offers reported at INR 39,500/t exw Raigarh (Up by INR 500/t).
• Mono TMT kept offers stable at INR 45,950/t FoR Ahmedabad.
• Century TMT is offering at INR 39,500/t exw Muzaffarnagar.
• Kalika TMT offers assessed at INR 45,500/t exw Jalna.

Wire Rod and Structure

• Trade discounts in Raipur wire rod drop by INR 200/t to INR 800-1,000/t, following which trade reference price up by INR 500/t to INR 39,300-39,500/t exw. Also, offers in Durgapur increase by INR 200/t to INR 40,200/t exw.
• Raipur based heavy structure manufacturers, reported their base price at INR 41,000/t, and maintained trade discount by INR 1,000-1,300/t, current trade reference price of 200 mm Angle is at INR 42,600-43,000/t exw.

Reference prices as on 25th Jan’21