SteelMint’s bi-weekly domestic pellet index “PELLEX ” has decreased by INR 400/t to INR 16,800/t DAP Raipur. No deal was reported in this publishing window owing disparity in bids & offers.
Pellet offers decline sharply – Raipur (Central India) based pellet manufacturers have decreased offers by around INR 1,000-1,500/t. The current offer for Fe 62.5/63% pellet stands at INR 16,500-17,500/t exw Raipur.
However, a West Bengal based pellet maker was heard to have floated offers for Raipur at around INR 15,500/t (DAP, Raipur). However, no deal has been confirmed yet.
Jharsuguda based pellet makers have decreased the offers by around INR 400-600/t. However, a major pellet maker from Raigarh is under maintenance shut down for the next few days.
NMDC DRCLO is preferable choice for sponge makers- As per the market sources reported to SteelMint buyers in Raipur are still interested in NMDC DRCLO over pellets owing to cost-competitiveness. Buyers are in wait and watch mode for pellet till the market prices turn stable.
Few sponge makers in Raipur are offering pellet in resale at INR 16,000/t (exw) in the local Raipur market. Though no deal has been heard so far highlighted by one of the Raipur buyers to SteelMint.
Pellet sponge (P-DRI) prices in Raipur have decreased sharply on low buying by around INR 2,400/t w-o-w to INR 29,000/t exw today. However, on a daily basis prices have decreased by INR 1,000/t.
Indian pellet market overview-: Indian pellet prices across the pellet making regions declined around INR 500-1,000/t owing to lack of demand and continuous fall in sponge prices in this publishing window.
Rationale – PELLEX has been derived using data points: i.e., trades, offers and bid. You can download the detailed methodology by clicking on this link Click here
- No deals were reported in this publishing window and hence not considered in the index calculation and kept the 0% weightage.
- Five firm offers were reported and three were offered from Raipur and the rest from outside Raipur. All were taken for price calculation and given a weightage of 100%.
- SteelMint has also resale pellet offer from buyer side that has also been included in price calculation in this publishing window.
Region-wise pellet offers and deals:
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