“Movement in Pellet – being a raw material, has been impacted by low demand from sponge iron units, slow off take of steel semis – Billet and finished steel products.
Standalone sponge iron units as well as integrated steel plants are making no extra purchases of Pellet but as per requirement only.
In Odisha belt, sponge iron buyers now prefer to purchase iron ore due to improved availability on account of mining operation resumed by few of the mines.
Hence, stabilized prices of Pellet might not sustain at current levels but witness some correction in the range of Rs 200-300/MT in Feb.
No doubt, Pellet manufacturers with a beneficiation plant have better survival ratio“, Mr. Sambeet Das, Vice President (VP) for Sales & Marketing at MSP Steel & Power Limited, Kolkata told SteelMint.
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