Indian DRI, billet and rebar update – 8 Jun

The Indian secondary steel market continued to remain dull on 8 Jun’21 on account of subdued trade activities, SteelMint notes. Prices plunged by up to INR 1,000/t ($14) day-on-day.

The Indian semi-finished steel (sponge iron and billet) market recorded a fall in prices by INR 100-1,000/t, with a particularly sharp fall of INR 1,000/t witnessed in Hyderabad’s billet market.

Also, induction furnace grade rebar prices declined by INR 100-600/t across many regions, witnessing a major decline of INR 500-600/t in central, western and southern India.

Sources are of the view that billet prices are unlikely to drop further in the central region due to power cuts in Raigarh that are bound to affect billet supply in the region.

Semi Finished

• Induction grade billet export offers drop sharply by $15/t to $590-595/t exw Durgapur, equivalent to $620/t CPT Nepal, via road delivery.
• Neo Metaliks in Durgapur has kept steel grade pig iron prices stable at INR 40,000/t exw.
• Sponge P-DRI prices in Raipur drop by INR 300/t to INR 30,400-30,500/t & a few deals reported through the participants as against offers of around INR 30,700-30,800/t on exw & FoR basis.
• Jharkhand Ispat Pvt. Ltd. offered billet at INR 44,000/t and sponge iron C-DRI (60:40) at INR 32,000/t exw Ramgarh.

Rebar (12 mm)

• GK TMT is offering at INR 49,000/t exw Raipur (Down by INR 500/t).
• Rathi Stelmax TMT offer stable at INR 50,550/t exw Delhi/NCR.
• Swarup TMT offers reported at INR 49,000/t exw Muzaffarnagar (Down by INR 100/t).
• Indo Star TMT kept offers unchanged at 49,500/t exw Ghaziabad.
• Mono TMT is offering at INR 49,700/t FoR Ahmedabad (Down by INR 200/t).
• Polaad TMT offer stable at INR 49,300/t exw Jalna.

Wire Rod and Structure

• Mid scale mills wire rod export offers reported at around $645/t exw Durgapur, equivalent to $670-675/t CPT Nepal.
• Trade discounts for wire rod in Raipur stable to INR 1,000-1,200/t, however base offers dropped by INR 600/t to INR 46,700/t exw. Also, prices in Durgapur fell by INR 300/t to INR 46,700-47,000/t exw.
• Raipur based heavy structure steel manufacturers, reduce the base price of 150 mm channel by INR 500/t to INR 47,000/t and given trade discounts by INR 400-600/t. Trade reference prices of 200 mm angle are at INR 49,300-49,700/t exw.

Reference prices as on 8th June’21