Sponge Iron Prices Stable in Indian Market – Week 14

In the current week, Sponge iron prices remained stable owing to balanced supply of Sponge iron (C-DRI) and Pellet Sponge (P-DRI) in the domestic market. The market sources reported that production of C-DRI & P-DRI (80 FeM) in Raipur has been reduced as most of the manufacturers have shifted to NMDC’s Iron ore. This in turn has surged the supply of 81-82 FeM C-DRI that has balanced Sponge prices.

As of now, C-DRI lump (80 FeM) prices are maintained at the level of INR 18,000/MT in Raipur. Whereas, similar grade prices in Durgapur have moved up by INR 300/MT; trading at INR 18,400/MT.

In South India, C-DRI prices remained stable and are still hovering between INR 16,300/MT and INR 16,900/MT. In contrast, prices of Sponge & Pig iron in Central India have strengthened because of decent trade during last week.

Semi Finish Prices as on 10 Apr’15

Prices in INR/MT
Source: SteelMint Research

Improvement in Trade Activities on Volatile Market – Industry Experts View

As per the industry sources, Semi finish prices have been fluctuating in the domestic market since a few weeks as there are limited sellers in the market. As a result, trading activities have improved. On the flip side, traders & manufacturers dealing in bulk quantities are hesitating to take position due to uncertain future sentiments.

Trade-wise

1. A Raipur based Sponge & Pellet manufacturer sold C-DRI lump at INR 17,800-18,000/MT and fines at INR 17,200-400/MT
2. Bhilai based Sponge manufacturer sold NMDC’s lump in the range of INR 18,600-18,900/MT
3. Aryan Ispat located in Jharsuguda offered P-DRI (79 FeM) at INR 15,700/MT
4. West Bengal (Durgapur) based Shyam Sel traded P-DRI (78 FeM) at INR 17,100/MT
5. JSW offered gas based DRI (82 FeM) at INR 18,200/MT ex-Maharashtra