Pig iron offers remain positively stable owing to improved demand for other steel commodity in domestic market.
Witnessing increased offers of sponge and billet and tight supply, Indian Pig iron makers have kept offers firm. Some of the manufacturers were even heard to have offered at a higher rates.
Recently, Raipur based manufacturer was heard to offer the material at INR 16,300-16,500/MT, ex-Raipur with an increase of INR 200-500/MT W-o-W. Short supply of Pig iron in local markets (Raigarh and Jharsugda) has made the manufacturer to offers at a premium rate.
NINL is offering basic grade Pig iron at INR 15,200/MT, ex-Cuttack with a discount of upto INR 400/MT and delivering the same material to Raipur at around INR 16,200-16,400/MT (freight, CST and Entry tax included).
Pig iron export
Indian Pig iron export fell by around 60% in 2015 owing to sharp price corrections in global market and tough competition from Chinese billet makers. India’s last export deal was settled by SAIL-IISCO for about 17,500 MT Pig iron at USD 240-245/MT, FoB Haldia Port.
Outlook
Market participants anticipate positive price revision by primary manufacturers, looking at the stimulated demand in domestic market.
Prices as on 23 Dec’15
| Particular/Delivery | Prices in INR/MT | Change |
| Ex-Cuttack | 14,800-15200 | 0 |
| Ex-Durgapur | 15,000 | 0 |
| Ex-Giridih | 16,100 | -300 |
| Ex-Hyderabad | 162,00-16,400 | 0 |
| Ludhiana (incl ED) | 20,000 | -500 |
| Ex-Raigarh | 16,000 | 0 |
| Ex-Raipur | 16,300-16,500 | +300 |
| Ex-Rourkela | 14,800 | +400 |
| Ex-Vizag | 16,200 | 0 |
Source: SteelMint Research
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