Indian semis market have reported a price movement of INR 200-700/MT. During the week 14, prices of sponge have been fluctuating by INR 100-300/MT and that of billet by INR 200-700/MT (USD 3-10), W-o-W.
During the whole week trade activities were subdued, hence the manufacturers were reluctant to change their prices accordingly.
Week – 14 dynamics
1. 78-80 FeM C-DRI offers are assessed at INR 17,350/MT (+200) ex-Durgapur, INR 16,600/MT (0) ex-Rourkela, INR 18,500/MT (-200) ex-Raipur and INR 18,300/MT (+50) ex-Bellary. Price changes mentioned are weekly basis.
2. 78-80 FeM P-DRI prices are assessed in the range of INR 16,750-18,900/MT across major markets.
3. 125×125 mm billet prices are evaluated at INR 26,600/MT (+600) in Durgapur, INR 25,900/MT (+200) in Rourkela, INR 28,100/MT (+700) in Raipur, INR 28,900/MT (+600) in Mumbai, INR 28,400/MT (0) ex-Ahmedabad, INR 28,450/MT (-650) in Chennai and INR 29,000/MT (0) in Hyderabad.
4. During the week, domestic pellet prices fluctuated by INR 100-200/MT following the marginal changes in sponge market. However, Indian Iron ore prices have remained firm.
5. The week saw further fall in Global raw material prices; Iron ore by USD 5/MT & pellet by USD 1-2/MT. The fresh prices are assessed – Iron ore 62% Fe at USD 79/MT & pellets (6-20 mm) at USD 98/MT; CNF China.
6. On W-o-W, pig iron prices in Central, East & North India have registered movement of INR 200-500/MT. According to the market participants trade activities were subdued during the week.
Outlook for Week – 15
1. Industry participants are assuming further price support in semis market looking at an increase in power tariff in Central region and quite good demand amid little inventories for the products.
2. Indian pellet prices are likely to remain volatile as demand is weak somehow in the domestic as well in the global market.
3. Indian pig iron market may come under pressure as recent export tenders of MMTC & VIZAG Steel (RINL) has received a lower bid by around USD 15/MT. Also, Indian domestic demand is not much good because of manufacturers turn to melt more substitute products instead of higher cost pig iron.
Raw material & Semis prices as on 01 Apr’17 (Week-14)
| Products | Markets | Prices in INR/MT | W-o-W |
| Billet 125*125 MM | ex-Mumbai | 28,900 | + 600 |
| Scrap HMS (80:20) | ex-Mumbai | 21,750 | + 350 |
| C-DRI 80 FeM | ex-Raipur | 18,500 | – 200 |
| P-DRI 80 FeM | ex-Raipur | 17,400 | – 250 |
| Pig iron Steel grade | ex-Raipur | 23,800 | + 150 |
| Pellet Fe 63%, 6-20 mm | ex-Durgapur | 5,600 | 0 |
| Iron ore Fe 62%, 5-18 mm | Joda loaded to wagon | 4,300 | 0 |
Basic prices in INR/MT; all taxes will be applicable
*Incld Royalty, DMF & NMET
Source: SteelMint Research
Leave a Reply