Export prices for global Pig iron continued to move upward due to rallies in coking coal and scrap prices. Prices also moved sharply on account of pricing uptrend in the steel market.
Export offers from Russia for low manganese Pig iron moved sharply and crossed USD 300/MT mark. Last week prices were at USD 290-295/MT, FoB Black Sea.
Export offers from Brazil also crossed USD 300/MT first time since mid-May. As most of the raw material prices are on rise, new offers are already being placed at USD 300-310/MT FoB Brazil.
As prices rose up sharply, people are still resistant to accept the price hike . However, global buyers are compelled to accept the higher offers since they are in dilemma when prices will stop increasing.
Indian trading house, MMTC being the largest Pig iron exporter has recently released an export tender for 30,000 MT Pig iron which will open on 23 Nov’16. It is been a month, the company has released an export tender as it was focusing entirely on fulfilling domestic demand.
Another major Pig iron exporter, SAIL has shipped 18,000 MT Pig iron cargo to Thailand last month at USD 240/MT, FoB Haldia Port. But it is the delayed cargo which was booked 1-2 months earlier.
Global Pig iron prices in Week 47
|
Country |
Price (USD/MT) |
W-0-W (USD/MT) |
Remarks |
| FoB Black Sea (Russia) |
300-310 |
10 | Prices moved up sharply by USD 5-10/MT in a week time due to further increase in coking coal and scrap prices |
| FoB Black Sea (Ukraine) |
280-285 |
– | Prices remained firm due to expensive raw material |
| FoB Brazil |
295-300 |
5 | Prices rose following fresh deals and general price hike in steel market |
| FoB India |
290-295 |
10 | Entirely focusing on domestic demand. MMTC issues a new 30,000 MT Pig iron export tender which will expire on 23 Nov’16. |
| CIF Italy |
300-305 |
5 | Prices rose due to recent deals concluded with Russia at such levels |
| CIF Thailand |
No offers |
– | Last month brought a delayed shipment of 18,000 MT Pig iron from SAIL at USD 240/MT, FoB India. No new offers heard. |
| CIF Turkey |
No offers |
– | Global scrap prices remained firm. Currently prefer imported scrap over Pig iron |
| CIF Bangladesh |
280-285 |
– | Not a regular buyer of Pig iron. No new deal has been heard to be concluded. |
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