Sponge Offers in South India Drifted Down

Sponge offers in Southern part of India fell by INR 300-500/MT against last day trades. Persistent weak demand has resulted fall in prices, according to the sponge manufacturers.

Presently, offers for FeM 78-80 C-DRI in South region are assessed at INR 17,500-18,000/MT (USD 271-280) ex-works, which was traded in the range of INR 18,000-18,500/MT (USD 280-287) on 17 Apr’17.

Analyzing the price movement in other parts of India like Central & East regions the change is marginal by INR 50-200/MT, Day on day (D-o-D) basis. Current offers for FeM 78-80 C-DRI in Central India are assessed at INR 17,000-17,600/MT & in East part it traded at INR 16,500-17,500/MT ex-works.

Plant wise updates (South India)

1. BMM Ispat, a price trend setter of sponge iron in South India has reduced offers of FeM 80 P-DRI lumps by INR 1,000/MT to INR 18,000/MT ex-Bellary, Karnataka.

2. Sunvik Steels in Karnataka again reduced sponge prices by INR 400/MT; offering FeM 80 C-DRI at INR 18,400/MT & FeM 82 at INR 18,800/MT, ex-plant.

3. Maharashtra based smelters purchased FeM 80 P-DRI from Odisha at approximately INR 19,000/MT FoR Mumbai (Landed), trade participant shared.

4. Hare Krishna, a 300 TPD sponge manufacturer in Bellary, Karnataka has offered FeM 80 P-DRI at INR 17,600-17,800/MT ex-plant.

5. Dhruvdesh Metals has quoted FeM 80 C-DRI mix material at INR 17,800/MT ex-plant, Karnataka.

6. Apple Industries, a merchant seller in Karnataka offered billet at INR 28,600/MT and FeM 80 C-DRI lump at INR 18,000/MT ex-plant (Karnataka).

7. Shiv Shakti Steel (Hyderabad) has reduced offers for FeM 80 C-DRI lump by INR 500/MT to INR 18,500/MT ex-plant. The company is also offering billet at INR 29,000/MT (ex-plant).

Domestic sponge offers as on 18 Apr’17

Prices in INR/MT
Source: SteelMint Research