Semis offers in Domestic market fluctuated by INR 100-300/MT during week 37.
Indian billet & sponge prices changed merely to INR 100-300/MT during the week in central, east, west & south India. According to the market participants, post significant price rise in week 36, the buyers and sellers were cautious about the trade in whole week.
Secondary pig iron manufacturers in central & east have increased offers by INR 500-1,000/MT. NINL also opened fresh offers with significant price rise by INR 1,300/MT (USD 20).
Week 37 dynamics
1. 78-80 FeM C-DRI offers assessed at INR 13,150/MT (+100) ex-Durgapur, INR 12,200/MT (+200) ex-Rourkela, INR 13,450/MT (+250) ex-Raipur and INR 13,050/MT (+250) ex-Bellary. Price changes indicated are weekly.
2. 78-80 FeM P-DRI prices increased to INR 11,250-13,950/MT across major markets.
3. 125×125 mm billet prices evaluated at INR 20,400/MT (0) in Durgapur, INR 20,050/MT (+250) in Rourkela, INR 20,450/MT (-150) in Raipur, INR 22,400/MT (0) in Mumbai, INR 22,650/MT (+250) in Chennai and INR 22,100/MT (0) in Hyderabad.
4.Iron ore prices in domestic market remain unaltered. However, in the global market offers fell to USD 58/MT (CNF China) on lull trade activities.
5. Domestic pellet offers down by INR 100-200/MT as sponge manufacturers hold purchases due to higher prices.
6. Melting scrap offers remain slightly changed in the west and south regions by INR 200-300/MT.
Week 38 outlook
1. Semis prices may find support on account of strong raw material prices and prevailing positive sentiments in the market.
2. Pellet offers in domestic market may fluctuate looking at limited sellers and subdued trade at current offers.
3. Iron ore prices likely to remain firm in Odisha & Chhattisgarh.
4. Secondary Pig iron manufacturers may increase offers by INR 500-800/MT as NINL opens fresh offers with price rise by INR 1,300/MT (USD 20).
5. Indian Scrap prices may find support on anticipated price rise of semis and resume full production by Induction operators.
Indian raw material and semis prices as on 10 Sep’16
| Products | Markets | Prices in INR/MT | W-o-W |
| Billet 125*125 MM | ex-Mumbai | 22,000 | 0 |
| Scrap HMS (80:20) | ex-Mumbai | 15,500 | + 100 |
| -C-DRI 80 FeM | ex-Raipur | 13,450 | + 250 |
| -P-DRI 80 FeM | ex-Raipur | 12,250 | 0 |
| Pig iron Steel grade | ex-Raipur | 19,500 | + 1,000 |
| Pellet Fe 63%, 6-20 mm | ex-Durgapur | 3,900 | – 100 |
| Iron ore Fe 62%, 10-30 mm | ex-mines, Joda loaded to wagon | 2,550* | 0 |
Basic prices in INR/MT; all taxes will be applicable
*Incld Royalty, DMF & NMET
Source: SteelMint Research
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