Pellet Price Updates; Fall in Durgapur

Looking at limited bookings and falling demand from sponge manufacturers, pellet makers in Durgapur have reduced pellet prices further by INR 200/MT. 

Pellet prices in Durgapur and Jharsuguda continue their downtrend-

Sharp fall in prices of pellet sponge (INR 500/MT W-o-W) and reduced bookings have forced pellet makers in Durgapur and Jharsuguda to cut their offers further. Also, Odisha based merchant miners recently reduced fines prices by INR 50-100/MT.

Current offers for Fe 63% pellets are hovering in the range of INR 4,500-4,900/MT (basic). At Jajpur, pellet (Fe 63%) offers are at INR 4,200/MT (loaded to wagons).

Jindal Steel and Power (JSPL) continues to hold its offers at INR 4,700/MT (loaded to wagons) for Fe 63% pellets. On similar lines, pellet offers at Jamshedpur also remain unchanged at INR 5,000/MT. Major pellet makers in eastern India continue to hold prices as they have already supplied considerable quantity of pellets to Tata Steel.

Central India pellet prices might fall further-

Currently, offers for Fe 62% pellets continue to remain stable at INR 5,100/MT (basic). However, prices might reduce in the coming week as some sponge manufacturers were to heard to have been diverted to lump.

Western & Southern India pellet prices continue to remain stable-

Southern India pellet market remained away from volatalities with prices remaining unchanged. Present offers for Fe 62% pellets are at INR 4,800/MT (basic) in Bellary and INR 4,600/MT (basic)for Fe 61.5%. An industry source shared that less varaition in P-DRI prices was noticed last week and we are receiving decent bookings for pellets at present rates which have resulted into stability in prices.

Pellet offers in western India have also remain unchanged at INR 5,300-5,400/MT (delivered Kandla) for Fe 63% pellets.

Indian Pellet Prices as on 21 Sept’15

Basic prices in INR/MT
*loaded to wagons
**delivered
NA: Not Available
Source: SteelMint