Indian Sponge Offers Inch Up

Today, sponge manufacturers in Raipur, Durgapur and Rourkela have increased their offers by INR 50-250/MT. However in Bellary, offers remained firm, following rising billet prices in the region.

Post price rise, offers for 78-80 FeM C-DRI have reached at INR 14,400/MT ex-Raipur, INR 13,300/MT ex-Durgapur, INR 13,200/MT ex-Rourkela and INR 14,100/MT ex-Bellary.

Billet and sponge producers in south India reported that rising Pig iron prices may in turn improve sales of sponge in near term. Billet prices instantly gain by INR 300-500/MT on the ground of sharp rise in Pig iron prices.

Trade highlights
1. Integrated plants in Raipur sold P-DRI at INR 13,300/MT yesterday to bulk purchasers. Today, the manufacturers increased offers to INR 13,500/MT ex-plant. No deals have been heard on increased offers.
2. Rashmi Metaliks in Durgapur has surged offers to INR 12,700/MT for P-DRI and INR 13,300/MT for C-DRI. An official from the company reported that buying is not much healthy at present.
3. Odisha based Bhaskar Steel and Ferro Alloy is offering billet at INR 20,800/MT and 80 FeM C-DRI lump at INR 13,300/MT ex-plant through CST billing.
4. Sunvik Steels in Karnataka has kept offers unchanged and offering 80 & 82 FeM C-DRI at INR 14,900/MT and INR 15,300/MT respectively on ex-plant basis.
5. Karnataka based ILC Iron & Steel (350 TPD) has offered 80 FeM P-DRI at INR 14,000/MT, ex-plant.
6. BMM Ispat in south region is offering 80 FeM P-DRI at INR 13,900/MT ex-Karnataka. The same grade material is also being offered by small size manufacturers at INR 13,600-13,700/MT ex-plant.
7. Amoda Steel & Iron, a 450 TPD sponge manufacturer based in Hyderabad, is offering 75 FeM C-DRI lump at INR 14,000-14,200/MT.
8. Shiv Shakti Steel is offering 80 FeM C-DRI lump at INR 15,300/MT and billet at INR 23,500/MT ex-plant, Hyderabad.

Indian sponge offers as on 22 Sep’16

Prices in INR/MT
Source: SteelMint Research