Domestic sponge market has registered price rise on prevailing positive sentiments amid improved demand for the material. On D-o-D prices surge by INR 100-400/MT.
Today offers for FeM 78-80 C-DRI are hovering in the range of INR 14,200-15,600/MT (USD 212-233) ex-works and P-DRI within INR 14,000- 15,200/MT (USD 208-227).
In context to key raw materials, Iron Ore prices surge by NMDC about 4-7% for Feb’17 deliveries. And South African RB2 coal offers are unaltered at USD 80-82/MT CNF India.
Trade Highlights
1. Raipur based Integrated plants sold FeM 80 P-DRI at INR 14,600-14,700/MT ex-plant, which was offered at INR 14,500-14,600/MT in the morning hours.
2. Rourkela based manufacturers offered FeM 80 C-DRI mix material at INR 14,100-14,300/MT & same grade lumps at INR 14,400-14,500/MT through CST billing. It analyzed that, in present time the state is not getting any major bookings from West regions (Maharashtra) due to cheaper basic price & freight on purchase of same material from South India (Karnataka).
3. Maharashtra (Jalna) based smelters purchased FeM 80 C-DRI from Bellary at INR 14,700/MT ex-plant, trade participant shared.
4. Sunvik Steels in Karnakata have kept offers unaltered; offering 80 & 82 FeM C-DRI are INR 14,900/MT and INR 15,300/MT ex-plant.
5. BMM Ispat yet to open fresh offer. The company’s last offer was at INR 14,200-14,300/MT for FeM 80 P-DRI, ex-plant.
6. Premium between C-DRI and P-DRI in central India has decreased by INR 400/MT to INR 950/MT, W-o-W. In East region, it remain stable to INR 500-600/MT and South to INR 400/MT.
Domestic sponge offers as on 14 Feb’17
| Particulars | C-DRI | D-o-D | W-o-W | P-DRI | D-o-D | W-o-W |
| Ex-Durgapur | 15,000 | + 400 | +800 | 14,400 | + 400 | +700 |
| Ex-Rourkela | 14,200 | + 400 | +100 | 0 | 0 | 0 |
| Ex-Raipur | 15,600 | + 100 | 0 | 14,650 | + 200 | +400 |
| Ex-Bellary | 14,700 | + 100 | -150 | 14,300 | 0 | -350 |
| Ex-Hyderabad | 15,600 | 0 | -300 | 15,200 | 0 | -550 |
Prices in INR/MT
Source: SteelMint Research
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