Indian DRI, billet and rebar update – 6 May

Indian secondary steel market has observed a price correction today & prices have declined by up to INR 1,000/t ($13) d-o-d basis.

The prices are falling since past couple of days on account of limited spot trades & declining steel prices in Northern India – Punjab.

As per SteelMint’s assessment, domestic billet offers have fallen by INR 100-500/t across many locations, following a major drop of INR 1,000/t seen in Eastern & Southern regions. Also, sponge iron prices have slumped by INR 100-500/t, however, a major fall of INR 400-500/t was noticed in Mandi Gobindgarh & Durgapur.

In line with it, the rebar prices have registered a downfall of INR 100-800/t, except Mumbai & Bangalore where prices have increased by INR 100-400/t.

Raw Material

• Karnataka based BMM Ispat sold around 10,000 t pellets in nearby market a day before at INR 12,500-12,600/t exw Bellary.
• Jsw Ispat Special Products Limited concluded few deals of 60-14 silico manganese at INR 86,250/t exw Raipur- Officials.
• Jharsuguda based pellet maker sold around 8,000 t raw pellets to Raipur, Central India a day before at INR 14,000/t exw

Semi Finished

• Neo Metaliks in Durgapur has reduced steel grade pig iron price by INR 200/t to INR 38,000-38,200/t exw.
• Raipur sponge P-DRI offers drop to INR 29,000-29,200/t exw, however deals reported at INR 28,800-29,000/t on exw & FoR Raipur basis.
• Induction grade billet export offers fall to around $580/t exw Durgapur, equivalent to $605-610/t CPT Nepal, however demand remains dull.
• Jharsuguda, Odisha based sponge supplier sold around 1,000 t FeM 80 P-DRI at around INR 28,700-28,800/t FoR Raipur.
•  Bhaskar Steel and Ferro Alloy Ltd has offered billet at INR 42,200/t exw Badtumkela.
• BMM Ispat offered FeM 80 P-DRI lumps at INR 28,700/t exw Bellary & around 1,500 t deals reported in nearby region

Rebar (12 mm)

• GK TMT is offering at INR 49,000/t exw Raipur (Down by INR 300/t).
• Metalics 550D TMT offers reported at INR 48,000/t exw Sambalpur (Down by INR 700/t).
• Shrishtii TMT offers reported at INR 46,200/t exw Raigarh (Down by INR 500/t).
• Shubhlabh TMT offers reported at INR 46,200/t exw Rourkela.
• Rathi Stelmax TMT offers stable at INR 50,250/t exw Delhi/NCR.
• Mono TMT offers unchanged at INR 50,500/t FoR Ahmedabad.
• Polaad TMT offers unchanged at INR 50,400/t exw Jalna.
• ARS TMT(Fe 550 D) offers reported at INR 54,800/t exw Chennai.

Wire Rod and Structure

• Mid scale mills wire rod export offers stood at $645-650/t exw Durgapur, equivalent to $675/t CPT Nepal.
• Trade discounts in Raipur wire rod unaltered at INR 1,600-1,800/t, however base offers slashed by INR 500/t to INR 47,300/t exw. Also prices in Durgapur slump by INR 1,000/t to INR 47,000-47,500/t exw Durgapur.
• Raipur based heavy structure steel manufacturers, reduce the base price of 150 mm channel by INR 500/t to INR 47,500/t, and given trade discount by INR 1,200-1,500/t, current trade reference price of 200 mm angle is at INR 49,200-49,500/t exw.

Reference prices as on 6th May’21