The Indian private pig iron producers based in Easterrn belt (West Bengal & Jharkhand), have increased prices by INR 500-800/MT (USD 8-12), as per SteelMint’s latest price assessment. Out of total pig iron productions in India, Eastern region produce more than 30-40% Pig iron.
The current offers for Steel grade Pig iron evaluated at INR 28,700-29,000/MT (USD 442-446) ex-Durgapur & INR 28,800-29,000/MT (USD 439-446) Ex-Jhakrhand, which was in the beginning of week at INR 28,200-28,500/MT (USD 434-439) Ex-Durgapur & INR 28,000-28,200/MT (USD 430-433) Ex-Jharkhand.
As per trade participants, few of the permanent suppliers temporarily halted pig iron supply, this has given room for producers to raise prices.
The producers in Durgapur also stated that there is some shortage of material and also anticipated price hike of coking coal due to which prices strengthening.
In recent the Australian coal market surprises with the news of force majeure on Coking Coal loading’s. According to the inputs received, DBCT has declared the force majeure due to the tropical cyclone, Iris. According to the status update by the Bureau of Meteorology of Australia, the cyclone is likely to weaken soon and the cyclone is likely to cause damages to the rail and port infrastructure. The current offers for Coking coal, Premium HCC assessed at around USD 197-198/MT FoB Australia.
Offers through Producers
— Neo Metaliks raised prices to INR 28,800-29,000/MT as against last deals at INR 28,400-28,500/MT ex-Durgapur.
— Bokaro based Electro Steels reported latest offers for Steel grade at INR 29,000/MT and the last trade during the start of week stated at around INR 28,000/MT; ex-plant. As per officials, availability of Pig iron is limited, thus prices raised sharply.
— SAIL’s IISCO Steel offers for Steel grade Pig iron heard at around INR 28,300/MT ex-plant, Burnpur.
— Recent, RINL (known as Vizag Steel) has increased steel grade Pig iron prices by INR 600/MT to INR 29,100/MT ex-plant (Vizag), as per company’s price circular w.e.f. 1st Apr’18.
— Atibir Industries, one of the biggest merchant pig iron supplier based in Giridih, Jharkhand, currently not offering pig iron due to none availability of material, as per officials. And the last deals reported at around INR 28,000-28,200/MT ex-plant.
— Suppliers in Central India-Raipur stated strong bookings yesterday for Steel grade at around INR 29,500/MT against deals couple of days ago at INR 29,000-29,200/MT FoR.
Steel Grade Pig Iron Prices as on 6th Apr 2018
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M |
| Ex-Bokaro | Steel Grade | 28,800 | 28,600 | 29,000 | NA | 28,133 | 29,900 |
| Ex-Cuttack | Steel Grade | 28,000 | 27,800 | 28,200 | 0 | 28,300 | 29,450 |
| Ex-Durgapur | Steel Grade | 28,800 | 28,600 | 29,000 | + 300 | 28,200 | 29,800 |
| Ex-Giridih | Steel Grade | 28,800 | 28,600 | 29,000 | + 600 | 28,100 | NA |
| Ex-Hyderabad | Steel Grade | 28,500 | 28,400 | 28,600 | 0 | 28,000 | 28,300 |
| Ex-Ludhiana | Steel Grade | 31,100 | 30,900 | 31,300 | + 100 | 30,767 | 31,075 |
| Ex-Raigarh | Steel Grade | 29,200 | 29,000 | 29,400 | + 200 | 29,233 | 30,600 |
| Ex-Raipur | Steel Grade | 29,500 | 29,300 | 29,700 | + 400 | 29,433 | 30,925 |
| Ex-Vizag | Steel Grade | 28,900 | 28,700 | 29,100 | 0 | 28,300 | 28,300 |
Prices in INR/MT & excluding 18% GST
Source: SteelMint Research
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