Indian Pellet Exports Up 38% in Jul’19

According to data maintained with SteelMint, Indian pellet export volumes inr Jul’19 has been recorded at 1.2 MnT, up 38% on monthly basis as against 0.87 MnT a month ago. On yearly basis, exports increased sharply to almost more than twice as compared to Jul’18 exports at 0.56 MnT.

Amid rising demand from Chinese mills and falling inventory at ports in June, steel mills had raised bids for Indian pellet. Chinese mills were looking to reduce raw material cost as the cost of fines was high.

Indian pellet exports to China Up 45% in Jul’19

China continued to remain the largest importer of Indian pellets for Jul’19 at 0.86 MnT, up sharply by 45% as compared to 0.59 MnT in the previous month. Turkey stood second-largest importer at 0.12 MnT followed by South Korea and Oman at 0.06 MnT each.

Indian pellet exports to non-Chinese market for the month of Jul’19 to Europe and other western and middle-east Asia.

Country-wise Indian Pellet Export-:

Qty in MT
Source: SteelMint Stats, Custom
Provisional Data

BRPL remains the largest Indian pellet exporter-: BRPL stood the largest pellet exporter in Jul’19 with exports at 0.29 MnT, up more than two- folds as against 0.12 MnT in Jun’19.

Rashmi Metaliks stood second-largest exporter at 0.24 MnT (up 44% M-o-M), followed by KIOCL at 0.17 MnT. Other exporters were JSPL, Bagadiya Brothers, Bagadiya Brothers, and Jindal SAW.

Dharma port accounted for largest export share for the month: Pellet exports from Dharma port recorded highest in Jul’19 at 0.46 MnT against 0.327 MnT in Jun’19, followed by Paradip Port at 0.37 MnT (Up 40%), Mangalore at 0.17 MnT.

Outlook: As per SteelMint analysis, current demand for Indian pellet is slow amid less purchase of Chinese steel mills. Indian pellet export market has witnessed downside since last month. Indian pellet export prices have dropped by USD 7-8/MT in last one month.