Scrap prices in Turkey have plunged with US imposing double tariffs on Turkish steel imports with effect from today (i.e. 13 Aug’18). Also the Turkish currency – Lira has depreciated and hit all time low to 6.92 against USD amid market uncertainties. Imported scrap prices in Turkey fell by USD 10/MT W-o-W.
Backed by all these factors, global pig iron prices have also shown signs of weaknesses.
In conversation with market participants, SteelMint learned that Indian pig iron export price assessment has come down by around USD 10/MT W-o-W. Current assessment for steel grade pig iron export stands at USD 370-375/MT, FoB India against previous assessment of USD 380-385/MT, FoB.
As per sources a private Indian pig iron manufacturer was heard offering 20,000 MT pig iron for export however owing to higher realization in domestic market, the tender stands withdrawn.
According to customs data maintained with SteelMint, India exported 127,910 MT pig iron during Jan-Jul’18. Vedanta was the largest exporter at 65,700 MT followed by NINL and RINL.
Global pig iron prices fall – Pig iron export offers from CIS nations are heard around USD 385-390/MT, FoB Black Sea. Buying interest from overseas market has turned dull as buyers await further correction in offers.
Pig iron export prices from Brazil have come down on enhanced supply over a mill resuming operations. Current assessment around USD 375-380/MT, FoB Brazil.
Indian domestic pig iron prices up marginally – Neelachal Ispat Nigam Limited (NINL) in its price circular dated 10 Aug’18 raised prices by INR 200/MT. The latest offers for Steel (N1) grade material are assessed at INR 28,100/MT (USD 404), ex-Cuttack, Odisha. While bulk purchase discount remain unchanged at INR 100-400/MT.
Towards end of last week, domestic pig iron prices in other major markets were assessed at INR 29,000-29,500/MT (USD 417-424) in Durgapur and INR 29,200-29,400/MT (USD 420-423) in Raipur. All prices mentioned are basic & GST @ 18% extra.
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