SteelMint has heard from its market sources that, an Indian mill has received an export order of 20,000-25,000 MT slabs from an Indonesian steel giant Gunung Steel.
The company had floated a import tender for slabs last week and invited participation from overseas exporters. The tender was awarded to an Indian manufacturer and the material is booked at USD 325-330/MT, FoB India basis.
Indian manufacturers have become quite active in slabs export market since May’16 in the wake of poor domestic demand and good realizations from export sales.
Also, after the break-down of one of the blast furnaces of South Korean steel giant Hyundai Steel in May’16, the company is constantly looking out for exporters to meet its slabs requirements.
In Jun’16, India’s total slabs exports stood at 23,175 tonnes for two months. While in Jul’16 the same stood at 28,237 tonnes and in Aug’16 it increased to 39,744 tonnes. It is being anticipated that country’s slabs exports are likely to increase further in Sep’16.
As per SteelMint analysis these slabs exports in last three months are mainly directed towards South Korea and Indonesia.
Slabs offers from CIS countries are assessed at USD 320-325/MT, FoB Black Sea. While Latin America’s offers are heard at USD 320-325/MT, FoB basis.
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