Neelachal Ispat Nigam Ltd (NINL)- India’s largest and state owned steel grade pig iron manufacturer & exporter has increased pig iron prices for steel grade by INR 1,800/MT (USD 25) w.e.f. 11th Sept 2018. Prior to this, the company had raised prices during mid of Aug’18 by INR 200/MT (USD 3).
As per company’s circular the latest offers for Steel (N1) grade at INR 29,900/MT (USD 411) & Foundry (N2) grade at INR 30,500/MT (USD 420); prices are basic, ex-Cuttack, East India. Bulk purchase discounts remained unaltered in the range of INR 100-400/MT.
As per participants, the company had raised prices sharply in line with decent bookings for domestic & exports and also due significant hike in pig iron prices by private pig iron producers. Another key factor reported that is rising raw materials – Iron ore & met coke prices, which are the key fuels of pig iron producers.
Notably, MMTC on behalf of NINL had concluded a export tender of 30,000 MT for non-alloy pig iron during the Aug-end. The deal price for material heard at around USD 385/MT, FoB for which shipment to made by end of Sept’18.
Odisha based merchant miners have increased iron ore prices by INR 600-700/MT in August and again by INR 500/MT in Sept. Imported met coke prices sky rocket and currently evaluated at USD 404-405/MT which was in Jul’18 prevailing at USD 335-340/MT, CNF India. Further as per SteelMint’ s assessment in a month duration the Indian pig iron prices by private producers increased by INR 2,000-3,000/MT (USD 28-42).
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