Indian semi finish market remained stable in week 24 across India. However, prices have surged in central India because of power failure in Raipur.
Week 24 ends with almost stable semi finish prices across India, except central region, where prices have increased sharply. The stability in prices is supported by no major change in supply and demand sentiments. However, prices in central India surged due to power failure in Urla industries based in Raipur.
Week 24 Major Highlights
1.Sponge iron prices past week remained at the level of INR 15,500-17,500/MT. C-DRI in Bellary is offered at INR 15,950/MT (82+ FeM), Durgapur at INR 16,200/MT (78 FeM) and Raipur at INR 16,600/MT (80 FeM)
2. Indian Pig iron offers were assessed at INR 17,500-23,000/MT
3. MS billet prices during the week hovered in the range of INR 24,500-27,400/MT; almost firm from a week earlier offers
4. Prices in central India rose by INR 500-800/MT. MS ingot offers went up by INR 250/MT to INR 25,200/MT and MS billet by INR 350/MT to INR 26,000/MT
5. Long steel market also witnessed rise in rebar prices especially in central India. 12 mm rebar in Raipur increased by INR 800/MT; reaching INR 30,700/MT in last two days
Raw Material & Semi Finish Prices as on 13 June’15
| Place | C-DRI (FeM) |
W-o-W | P-DRI (FeM) |
W-o-W | HMS Scrap |
W-o-W | MS Ingot |
W-o-W | MS Billet |
W-o-W |
| Mandi | 19,400 (78+) | 0 | 17,500 (78+) | – 400 | 21,350 | + 50 | 29,100 | – 100 | 29,400 | + 50 |
| Raipur | 17,500 (82+) | – 200 | 14,600 (80+) | – 200 | 20,250 | – 200 | 25,200 | + 500 | 26,000 | + 650 |
| Durgapur | 16,200 (78) | 0 | 14,200 (78) | 0 | 19,700 | – 100 | 24,600 | – 50 | 25,100 | – 50 |
| Hyderabad | 16,900 (82) | – 100 | 14,600 (77) | – 100 | 19,700 | – 500 | 25,500 | – 500 | 25,500 | – 500 |
Basic prices in INR/MT
Source: SteelMint Research
Week 25 Major Prospects
1.Semi finish production may get affected across India owing to lack of power supply and hike in power tariff. About 50% of production could be affected from the current production level in Chhattisgarh
2. Chhattisgarh State Electricity Board (CSEB) decided to divide Urla industries in two groups A & B and will provide each with power on alternatively days (3 days each) in a week
3. It is anticipated that iron ore prices in Odisha are likely to correct in coming week. It is heard that miners are looking at demand & supply in order to revise prices in mid-June
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