Vizag Steel (RINL) export tender of 30,000MT Pig iron, which got expired on 9 Jan’15, has received poor response from the global buyers owing to weak demand.
Sources reported, Prime Carbon GmbH was the only participant in the event; bidding at around USD 306/MT, FoB East Coast India (ECI). The bid was disappointing as it was lower by USD 14/MT from the recent deal sealed by MMTC on 6 Jan’15.
Company is yet to award the tender as they are puzzled about sealing at this level. According to market insiders, concluding the deal at this level may disturb the sentiments in market, but rejecting bid on other hand would build stock pressure. At this spaced out situation, it would be interesting to witness the decision of the company.
| Particulars | Prices in USD/MT | M-o-M |
| Pig Iron FoB India | 320 | -10 |
| Pig Iron FoB Black Sea | 335 | -5 |
| Pig Iron FoB Brazil | 365 | 0 |
| Pig Iron Ex-Cuttack | 20,300-20,700* | -500 |
*Price in INR/MT
USD 1 = INR 62.04
MMTC offers Pig Iron for Export
MMTC, India’s largest trading company, on behalf of NINL has issued a global tender for export of 40,000 MT basic grade Pig iron (firm lot -30,000 MT + optional lot-10,000 MT) on 13 Jan’15. Technical bid will be held on 21 Jan’15 along with price bid.
The loading of offered firm lot shall be done at Paradip Port along with delivery basis on FOBST with shipments scheduled between 1 Feb’15 and 10 Feb’15.
Product Specification
- Grade: Basic grade
- C: 3.6-4.3%
- Mn: Less than 1%
- Si: Upto 1.24%
- S: 0.05% max
- P: 0.15% max
- Weight: 15-20 Kg
Last date for bid submission will be on 21 Jan’15 at 14:30 hrs with technical bids scheduled at 14:45 hrs and price bids at 16:30 hrs on the same day.
The company has recently settled an export tender with STX Corporation at USD 320.5/MT, FoB East Coast of India. According to sources, loading is expected to take place by the last week of Jan’15.
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