Indian DRI, billet and rebar update – 28 May

Indian secondary steel market has observed an upward trend today & prices have increased by up to INR 1,300/t ($18) on a d-o-d basis.

According to SteelMint’s assessment, Indian semi-finished steel prices (including sponge iron & billet) have increased by INR 200-1,300/t in many locations, however, a slight fall of INR 300/t was noticed in Chennai.

In line with this, the rebar offers have also moved up by INR 100-800/t in all the markets, whereas, a drop of INR 200/t was seen in Southern India.

Spot trade volumes also improved especially in the Central region, however, price stability remains a major concern amongst market participants.

Raw Material

• A Chandrapur (Maharashtra) based sponge iron manufacturer booked raw pellet from Bellary at INR 14,000/t FoR.

Semi Finished

• Induction grade billet export offers increased to around $570-575/t exw Durgapur, equivalent to $595-600/t CPT Nepal, via road delivery.
• Neo Metaliks in Durgapur has kept steel grade pig iron offer firm at INR 38,000/t exw.
• Raipur based sponge P-DRI makers have raised offers by INR 500-600/t & deals reported at INR 28,800-29,000/t on exw & FoR basis.
• Jharsuguda, Odisha based sponge supplier offered FeM 79 P-DRI at around INR 29,100-29,200/t FoR Raipur.
• Odisha based manufacturer, Ganesh sponge offered FeM 80 C-DRI mix at INR 29,500/t exw Angul.
• Sources reported Chandrapur (Maharashtra) based manufacturers offered sponge P-DRI (FeM 80) at INR 28,700/t exw.
• Ind Synergy offered P-DRI at INR 28,400/t & billet at INR 40,800/t exw Raigarh.
• Jindal Steel offered steel grade pig iron at INR 38,500/t exw Raigarh.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 27,500/t exw Bellary.
• Prakash Sponge, a prime grade sponge maker in Karnataka has reported about 400 t deals at INR 27,800/t exw, for FeM 81 C-DRI lumps & later closed the sales.

Rebar (12 mm)

• GK TMT offer stable at INR 47,500/t exw Raipur.
• Shrishtii TMT offers reported at INR 46,100/t exw Raigarh (Up by INR 800/t).
• Metalics 550D TMT offers reported at INR 46,300/t exw Sambalpur (Up by INR 500/t).
• Wonder Gold TMT is offering at INR 46,800/t exw Muzaffarnagar (Up by INR 300/t).
• Vibrant TMT is offering at INR 48,900/t FoR Ahmedabad (Up by INR 400/t).
• Polaad TMT offer stable at INR 49,000/t exw Jalna.

Wire Rod and Structure

• Trade discounts for wire rod in Raipur dropped to INR 300-500/t & base offers rally by INR 1,200/t to INR 45,600/t exw. Also, prices in Durgapur went up by INR 500/t to INR 45,000-45,500/t exw.
• Raipur based heavy structure steel manufacturers, currently offering the base price of 150 mm channel at INR 45,500/t and given trade discounts by INR 200-300/t. Trade reference prices of 200 mm angle are at INR 48,000-48,400/t exw.

Reference prices as on 28th May’21