Domestic mill scale prices in India have decreased by INR 100-500/tonne (t) w-o-w. SteelMint’s current assessment for mill scale (Fe 70/68%) stands at INR 7,900/t exw-Raipur, down by INR 450/t w-o-w. The decline in prices was largely due to limited buying and drop in pellet and iron ore prices.
“It is expected that offers may fall further to INR 7,500/t exw-Raipur levels in the coming week,” highlighted a market source.
Towards the beginning of this week, a Raipur-based plant concluded around 200 t mill scale deals at INR 8,600/t exw Raipur.
The current bids for Raipur mill scale are heard at INR 7,500/t exw. However, some makers are offering mill scale at around INR 8,300-8,400/t exw, SteelMint learned.
Kandla mill scale prices witness limited correction on active export bookings
Mill scale is assessed at INR 9,250/t DAP Kandla, lower by INR 150/t w-o-w. Enquiries in exports have remained supported which have prevented significant correction in prices in the region.
For exports, active trade of around 17,000-18,000 t of mill scale volumes were recorded at $140-145/t to Vietnam and 15,000 t to Malaysia at $140/t on FoB basis, sources have confirmed to SteelMint.
Outlook : With decline in pellet and iron ore export realisations, domestic prices may come under pressure which may, in turn, lower mill scale offers.
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