In the last couple of days domestic sponge market has registered slight price fluctuations of INR 100-200/MT and hovering in the range of INR 16,200-18,500/MT (USD 248-284) ex-plant.
Currently, there is supply shortage in sponge especially in Central India due to less production output on melted domestic coal. Thus, there are indications about further strengthening of sponge prices, if demand continue on positive note.
Trade Log:
1. Raipur based integrated plants have increased P-DRI prices by INR 100/MT to INR 17,400/MT ex-plant. According to trade participants, prices are likely to remain higher as supply is usual, while demand continues to be strong.
2. According to sources in Durgapur, Rashmi Metaliks has kept offers unaltered for C-DRI at INR 17,100-17,200/MT. While, P-DRI offers by Shyam Sel heard at INR 16,500-16,600/MT
3. Singhal Steel, a large semi finish maker with current billet production of 600 MT per day in Raigarh, sold C-DRI (0-20 mm) at INR 17,800/MT ex-plant (Raigarh) & billet at INR 26,600/MT FOR Raipur, an official reported
4. Raigarh based smelters are largely purchasing sponge C-DRI from Rourkela due to cheaper prices. For Instance, Rourkela sponge offers are at INR 17,300-17,500/MT FOR, while the local manufacturers in Raigarh are offering same grade material at INR 17,800-18,000/MT ex-plant.
5. Bhaskar Steel offered FeM 80 C-DRI lump at INR 16,600/MT & billet at INR 25,500-25,600/MT ex-plant (Odisha) through CST billing
6. Jalna, Maharashtra based smelters purchased FeM 80 C-DRI lumps from Bellary at INR 18,800-19,000/MT FOR. Similarly, offers by Rourkela, Odisha based manufacturers are heard at INR 19,100-19,300/MT FOR Jalna
7. BMM Ispat, a price trend setter of sponge iron in South India has offered FeM 80 P-DRI lumps at INR 17,800/MT ex-Bellary, Karnataka
8. Sunvik Steels in Karnakata have kept offers unaltered; offering FeM 80 & 82 C-DRI are INR 18,500/MT and INR 18,900/MT ex-plant
9. Apple Industries, who produces 8,000-9,000 MT billet per month and also a merchant seller is offering billet at INR 28,500/MT and FeM 80 C-DRI lump at INR 18,000/MT ex-Bellary (Karnataka).
10. Shiv Shakti Steel (Hyderabad) offer for FeM 80 C-DRI lump is at INR 18,500/MT & billet at INR 28,500/MT ex-plant.
Domestic sponge offers as on 21 Mar’17
| Particulars | C-DRI | D-o-D | W-o-W | P-DRI | D-o-D | W-o-W |
| Ex-Durgapur | 17,200 | 0 | + 200 | 16,600 | 0 | + 300 |
| Ex-Rourkela | 16,300 | +100 | + 100 | 0 | 0 | 0 |
| Ex-Raigarh | 17,800 | + 50 | + 600 | 16,800 | 0 | + 600 |
| Ex-Raipur | 18,300 | – 100 | + 500 | 17,300 | + 150 | + 600 |
| Ex-Bellary | 18,000 | 0 | + 50 | 17,700 | 0 | + 200 |
| Ex-Hyderabad | 18,500 | – 100 | 0 | 18,500 | 0 | + 100 |
Prices in INR/MT
Source: SteelMint Research
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