Sponge Offers in South India Increase Further

Sponge prices continue to surge in South region and across other parts of India. The manufacturers in South reported prices surge in line with strong demand due to hike in imported scrap prices as well less availability of imported Coal in the region.

Since couple of days the prices in South India are uptick by INR 500-1,000/MT (USD 8-15) for FeM 80 CDRI and hovering in the range of INR 17,000-18,000/MT (USD 253-270) ex-works.

Mr. Pawan from Sunvik Steels in Karnataka has mentioned “Prices might remain strong as there is shortage of imported coal. Also spike in imported scrap prices and good demand in sponge is the reason which led to hike in prices.”

Plant wise updates

1. BMM Ispat, a price trend setter of sponge iron in South India has offered FeM 80 P-DRI lumps at INR 17,300/MT ex-Bellary, Karnataka.

2. Sunvik Steels in Karnataka has increase sponge prices couple of times by INR 500/MT and offering FeM 80 & 82 C-DRI are INR 18,000/MT and INR 18,500/MT ex-plant, respectively

3. ILC Iron & Steel, a 350 TPD sponge manufacturer from Karnataka hike offers for FeM 80 C-DRI lump by INR 200/MT to INR 17,600/MT ex-plant. The company officials mention good deals concluded to Indore at around INR 17,400-17,500/MT (ex-plant).

4. Dhruvdesh Metals has quoted FeM 80 C-DRI mix material at INR 17,200/MT ex-plant, Karnataka.

5. Prakash Sponge, a prime grade sponge maker in Karnataka offered FeM 80 C-DRI lumps at INR 17,500/MT ex-plant.

6. Apple Industries, a merchant seller in Karnataka offered billet at INR 27,000/MT and FeM 80 C-DRI lump at INR 17,000-17,200/MT ex-plant (Karnataka).

7. Amoda Steel & Iron Ltd, a 450 TPD sponge manufacturer based in Hyderabad, has offered FeM 75 C-DRI lump at INR 16,600/MT ex-plant.

8. Shiv Shakti Steel (Hyderabad) has increased offers for FeM 80 C-DRI lump by INR 400-500/MT to INR 18,000/MT ex-plant. The company is also offering billet at INR 27,500/MT (ex-plant).

Similarly, prices in other parts of India like Raipur, Central & Rourkela, Durgapur, East India also increased. In the respected markets, recently prices surge up to INR 500/MT for FeM 80 C-DRI and assessed in the range of INR 15,600-17,600/MT (USD 233-263) ex-works.

The manufacturers in the region reported, strong sales in the local market & for North & West parts of India also.