“Falling sponge prices across India have reduced demand for Iron Pellet. Manufacturers are forced to cut Pellet offers on piling up of inventories”, said market participants.
Arya Iron and Steel Ltd is heard to be offering Fe 63 at Rs 7,500/MT (loaded to wagons, Barbil, Odisha) and Jindal Steel & Power Ltd is offering the same grade at Rs 7,700/MT (loaded to wagons, Barbil, Odisha).
Adhunik Metaliks Ltd based in Tatanagar is heard to have booked the last order at around Rs 7,800/MT (Ex plant Tatanagar).
“There are very limited buyers for Iron Pellet on the fact that many of the sponge iron units are either shut or are running at very low capacities”, said a trader based in Odisha.
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