Steel Authority of India Ltd (SAIL), country’s largest steelmaker, offers 65,000 MT steel grade Pig iron at INR 17,400/MT, ex-Rourkela till 04 July’15; price cut of INR 100/MT.
The company also offers additional discount of upto INR 400/MT on bulk purchase upto 14,000 MT (around 5 rakes). Market sources shared RSP’s previous offering of 75,000 MT Pig iron at INR 17,500/MT were not sold completely.
Quantity Discount Table
| Quantity Purchase | Discounts Offered | Offers-by Road | Offers- by Rail |
| Up to 3,499 MT | No discount | 17,400 | 17,500 |
| 3,500 to 6,999 MT | 100 | 17,300 | 17,400 |
| 7,000 to 10,499 MT | 200 | 17,200 | 17,300 |
| 10,500 & 13,999 MT | 300 | 17,100 | 17,200 |
| 14,000 MT & above | 400 | 17,000 | 17,100 |
1 Rake= 3,500 MT
Offered prices in INR/MT
Neelachal Ispat Allows INR 400/MT Discount on 14,000 MT Purchase Instead of 10,500 MT
Neelachal Ispat Nigam Ltd (NINL), in its recent offers has trimmed Pig iron prices by INR 100/MT to INR 17,400/MT (N1) and INR 17,600/MT (N2), ex-Cuttack and has allowed discount upto INR 400/MT for purchase of more than 14,000 MT, which was earlier to be given at 10,500 MT.
The increase in quantity on which discount will be allowed, from 10,500 MT to 14,000 MT, has affected local markets near by, resulting in an increase in secondary Pig iron prices by INR 200-300/MT.
Market participants shared, “Manufacturers at present are hesitant to book bulk quantities and are not bothered about availing discounts offered by primary manufacturers, as secondary plants here are offering smaller quantities at discounted rates.”
Other Pig iron manufacturers at Cuttack were heard doing business at INR 17,200-17,300/MT, ex-works.
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