Neelachal Ispat Nigam Limited, India’s one of the largest Pig iron manufacturer and exporter has reduced Pig iron price by INR 700/MT for rest of July’15.
Current offers for N1 grade Pig iron are at INR 16,700/MT, ex-Cuttack which was previously INR 17,400/MT. Company has allowed INR 200/MT discount on bulk purchase of N1 grade of upto 7,000 MT. However it has not allowed any discount for purchase of N2 grade, offering it at INR 17,500/MT, ex-Cuttack.
Failure in recent export tender closed on 16 Jul’15, along with sharp price cut by SAIL-RSP by INR 500/MT has collectively build pressure in NINL (MMTC) domestic offers. Local demand for steel also doesn’t seems to be improving, which has further contributed to such price-cut.
Quantity Discount Table
| Quantity Purchase | Discounts Offered | Offers in INR/MT |
| Up to 3,499 MT | No discount | 16,700 |
| 3,500 to 6,999 MT | 100 | 16,600 |
| 7,000 MT & above | 200 | 16,500 |
1 Rake = 3,500 MT
Valid till 31 July’15
Source: SteelMint Research
Increasing Production; Decreasing Exports
Indian Pig iron prices have been falling since last one year owing to rising domestic production and falling exports from the country. According to ministry of Steel, Indian Pig Iron production has increased to 9.7 MnT in FY15 against 6.6 MnT in FY14 and 5.3 MnT in FY13. On the other hand, Pig iron exports have fallen to 0.64 MT in FY15, against 1.10 MnT in FY14 and 0.41 MnT in FY13.
Quantity in million tonnes
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