Domestic sponge market has registered price rise of INR 100-300/MT against yesterday’s trade. Similar, price rise is being assessed for Billet.
Presently, FeM 78-80 sponge iron prices are hovering in the range of INR 17,000-19,200/MT (USD 263-298) and Induction furnace grade billet offers are evaluated at INR 27,500-31,000/MT (USD 426-482) ex-works.
In the current circumstance, trades are average for the sponge iron over volatility in billet market.
According to the sponge manufacturers as the prices of substitute products are on rising mode there are chances of support in sponge market.
Notably, the price of alternates like pig iron have surged approximately by INR 1,000/MT, W-o-W. Following the trend, scrap price also strengthen.
Key Highlights
1. The Integrated plants in Raipur are trading P-DRI at INR 17,300/MT which was traded at INR 17,200/MT on 10 Apr’17. Billet manufacturers reported, C-DRI offers by Odisha at INR 18,100-18,300/MT FOR for 70:30 mix material.
2. The sources reported, Rashmi Metaliks and Shyam Sel in Durgapur have increased sponge prices by INR 100/MT; offering C-DRI at INR 18,200/MT & P-DRI at INR 17,500/MT.
3. Sources informed, Monnet Ispat sold the bulk quantity of C-DRI fines at INR 17,800/MT and C-DRI lumps at INR 18,000/MT on ex-plant, Raigarh basis.
4. Singhal Steel, a large semi finish maker in Raigarh, offered C-DRI (0-20 mm) at INR 18,000/MT ex-plant, an official reported. Also added billet deals at INR 28,000/MT FOR Raipur.
5. Bhaskar Steel offered FeM 80 C-DRI at INR 17,200-17,300/MT & billet at INR 27,700/MT ex-plant (Odisha) through CST billing.
6. Maharashtra based smelters purchased FeM 80 P-DRI from Nagpur at approximately INR 18,500/MT FoR Mumbai (Landed), trade participant shared.
7. Sunvik Steels in Karnakata has kept offers unchanged; Offering FeM 80 & 82 C-DRI at INR 19,200/MT and INR 19,600/MT ex-plant.
8. BMM Ispat is yet to open fresh offer. The company’s last offers was at INR 18,000/MT for FeM 80 P-DRI, ex-plant.
Sponge prices as on 11 Apr’17
| Particulars | C-DRI | D-o-D | W-o-W | P-DRI | D-o-D | W-o-W |
| Ex-Durgapur | 18,150 | + 50 | + 750 | 17,500 | + 50 | + 650 |
| Ex-Rourkela | 17,100 | + 100 | + 400 | 0 | 0 | 0 |
| Ex-Raigarh | 17,900 | + 200 | + 200 | 16,950 | + 250 | + 250 |
| Ex-Raipur | 18,500 | 0 | + 100 | 17,300 | 0 | + 100 |
| Ex-Bellary | 18,800 | + 200 | + 400 | 18,250 | + 150 | + 150 |
| Ex-Hyderabad | 19,200 | + 200 | + 350 | 19,250 | + 250 | + 450 |
Prices in INR/MT
Source: SteelMint Research
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