Indian Steel Market Update- 27 May’20

Indian billet prices fell further owing to fall in spot finished steel trades and as per assessment, prices came down by INR 100-600/MT against yesterday with major fall of INR 500-600/MT in central region.

Also, rebar prices plunged by INR 100-500/MT with major fall in Hyderabad & Muzzafarnagar by INR 500/MT. Meanwhile, sponge iron prices fluctuated by INR 100-300/MT, on D-o-D basis.

SteelMint’s price assessment for induction furnaces billet in Indian market stood at INR 28,300-31,300/MT (USD 373-413) EXW.

Further, the coal-based sponge (78-80 FeM) C-DRI price assessment was at INR 16,400-17,500/MT (USD 216-231); prices are EXW & excluding GST.

Rupee & BSE Sensex

— On 27th May 2020 (Wednesday) INR to USD exchange rate stood at INR 75.69.

— ICEX (Indian Commodity Exchange Ltd) Jun’20 contract for STEELLONG today open at INR 30,600/MT & last traded (IST 17:50 hrs) at INR 30,700/MT.

— BSE Sensex closed at 31,605(+995) on Wednesday, as against last day (Tuesday) at 30,609(-63).

— NSE Nifty50 index was closed today at 9,314(+285) & Nifty Metal at 1,801(+44).

Raw Material

— OMC has scheduled its next iron ore lump e-auction on 1st June’20. The auction is being conducted for 570,000 MT DR-CLO and 1,500 MT lumps.

— Raipur based furnaces booked few quantity of Silicon Manganese (60-14) at INR 62,500-63,000/MT EXW.

Semi Finished

— Electrosteels in Bokaro has raised steel grade pig iron prices by INR 500/MT to INR 23,800-24,000/MT ex-plant. However no major deals as per officials.

— As per market sources, Rashmi Metaliks in Kharagpur (Durgapur) have reduced sponge P-DRI prices by INR 300/MT to INR 16,700/MT FoR.

— Jindal Steel is offering steel grade pig iron at INR 24,000/MT ex-plant, Raigarh. Around 5,000 MT deals reported in the local market this week by officials.

— Mid scale mills billet export offers hovering at USD 372-374/MT ex-mill at Durgapur, equivalent to USD 400-405/MT CPT Nepal.

— Neo Metaliks has kept steel grade pig iron prices firm at INR 23,800-24,000/MT ex-Durgapur.

— Raipur based manufacturers have lowered sponge P-DRI prices by INR 200/MT to INR 16,200-300/MT ex-plant.

— Central India, Raigarh based sponge manufacturer (900 TPD) has reported deals for sponge P-DRI at INR 15,600-15,700/MT ex-plant.

— BMM Ispat, a renowned sponge manufacturer has offered FeM 80 P-DRI lumps at INR 16,500/MT ex-Bellary.

Rebar (12 mm)

— Real Ispat (GK TMT) unchanged their offer at INR 37,700/MT EXW (Raipur)

— Rajuri Steel Pvt. Ltd. (Rajuri TMT) is offering at INR 36,700/MT EXW (Jalna).

— Bajrangbali Steel Industries Pvt Ltd in Rourkela is offering Rebar at INR 35,500/MT EXW.

— Odisha based Shubhlabh TMT offers reported at INR 35,600/MT EXW

— Vinayak TMT Bars Pvt. Ltd. is offering at INR 35,300/MT FoR. (Gujarat).

— Sarvottam Rolling Mills (Paras TMT) offering at INR 35500/MT EXW (Muzaffarnagar).

— In heavy structural steel, trade discount maintained by Raipur based manufacturers is at INR 1,000- 1,300/MT and trade reference prices at INR 36,200-36,600/MT (200 Angle) EXW.

Wire Rod & Pipe

— Trade discount in Raipur wire rod further up to INR 800-1,000/MT through the traders and trade reference price drop by INR 200/MT to INR 33,300-700/MT ex-Raipur, while it slightly up in Durgapur at INR 33,400-800/MT ex-Durgapur.

— ERW Pipe Manufacturers have decreased offers by INR 200-300/MT to INR 36,300-36,500/MT ex-Raipur, INR 37,500/MT ex-Mandi Gobindgarh & INR 36,500-36,700/MT ex-Rourkela.