Daily Update: Indian Semis Offers Decline on Demand Concern
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Indian Billet prices remained downtrend due to poor off take in finished products and as per assessment the prices drop by INR 100-400/MT day-on-day with major fall of INR 400/MT (USD 6) in western region.
Meanwhile Sponge iron prices volatile due to high cost raw materials amid limited selling by producers due to sufficient orders in hand. As per daily assessment, the prices fell by INR 200/MT in central region, while offers unchanged in eastern India. However in southern market slight rise of INR 100/MT observed on better trades.
SteelMint's latest price assessment for induction furnaces billet in Indian market stood at INR 27,800-31,800/MT (USD 403-462) ex-plant.
Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 16,900-18,500/MT (USD 245-268); prices are ex-plant & excluding GST.
Rupee & BSE Sensex
-- On 3rd July 2019 (Wednesday) INR to USD exchange rate stood at INR 68.85.
-- ICEX (Indian Commodity Exchange Ltd) Aug'19 contract for STEELLONG today open at INR 30,890/MT & last traded (IST 18:10) at INR 30,910/MT.
-- BSE Sensex closed at 39,839(+22) on Wednesday, as against last day (Tuesday) at 39,816(+129).
-- NSE Nifty50 index was closed today at 11,916(+6) & Nifty Metal at 2,992(-1).
Raw Materials
-- India's KIOCL concludes 50,000 MT Pellet(less than 2% Al) tender at around USD 128/MT FoB India. Indian pellet export prices move up by USD 3-4/MT against last week
-- NMDC Iron ore rake movement from Chhattisgarh mines fell 23% in June against May over temporary suspension of operations by locals
-- POSCO Maharashtra has signed a Memorandum of Understanding (MoU) with Essar Steel to buy 1 MnT of Hot-rolled coil (HRC) worth INR 5000 cr.
-- As per customs data, India has imported 598,870 MT ferrous scrap in Apr'19, up by 3% M-o-M, as against 582,699 MT in Mar'19.
-- Imported scrap offers to India for HMS (80:20) Europe origin containers stood at around USD 300/MT, CFR Nhava Sheva.
-- Indian met coke import prices down by USD 7-8/MT & hovering at USD 326/MT for 64% CSR and the 62% CSR grades prices at around USD 312/MT on CNF India basis.
-- Melting scrap offers in Western India- Gujarat decline by INR 400/MT in a day trade activities.
Semi Finished
-- Mid sized mills export offers to Nepal slightly drop as fresh quotation recorded at USD 405-410/MT for Billet(100*100 mm) & USD 470-475/MT for Wire rod(5.5 mm), ex-mill at Durgapur.
-- Raipur based one of the major sponge producer reduces sponge P-DRI price by INR 200/MT to INR 16,400-16,500/MT (ex-plant), following the trend small sized plants being reduce prices and few deals learned at around INR 16,400/MT which was last day at near to INR 16,600/MT ex-plant.
-- Durgapur based major sponge producers kept offers firm amid moderate response and deals learned for P-DRI at around INR 16,500/MT.
-- Aloke Steel Industries (Jharkhand) offered Fem 78-80 C-DRI lumps at INR 18,000/MT & Sponge mix material (60:40) at INR 17,700/MT ex-plant. Manufacturer is also offering trade discount of INR 300/MT in bulk bookings.
-- Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 17,000/MT & Billet at INR 27,800/MT ex-plant.
-- BMM Ispat a price trend setter in South Indian sponge market has kept offers unaltered today and offered FeM 80 P-DRI lumps at INR 16,400-16,500/MT ex-Bellary, Karnataka.
-- Apple Industries in Bellary (Karnataka) offered Sponge FeM 83+ P-DRI lump at INR 17,800/MT & Billet at INR 29,000/MT ex-plant.
-- BIOP Steels in South India has offered FeM 80 & 82 C-DRI lumps at INR 17,100/MT & INR 17,500/MT ex-plant, Karnataka; an official reported.
Wire Rod & Pipe
-- Trade discounts in Raipur wire rod up by INR 200/MT to INR 1,200-1,400/MT despite slump in base price by INR 300/MT to INR 34,700/MT ex-plant. Similarly in Durgapur trade reference prices drop by INR 200/MT to INR 33,000-33,700/MT ex-plant.
-- Raipur, Central India based ERW pipe manufacturers offers reported at around INR 36,000/MT ex-plant & excluding GST. Offers decline by INR 200/MT D-o-D.
-- Mandi Gobindgarh, North India based ERW pipe manufacturers offers reported at around INR 37,500/MT ex-plant & excluding GST.
Rebar (12 mm)
-- Raipur based - SPEED TMT has unchanged their offers at INR 32,800/MT.
-- Real Ispat (GK TMT) has unchanged their offers at INR 35,200/MT.
-- Raigarh based Anjani Steels Ltd. (Radhe TMT) is offering at INR 32,800/MT (down by INR 200/MT)
-- Raigarh based Scan Group branding (Shrishti TMT) is offering at INR 33,200/MT (down by INR 300/MT).
-- Jalna based Bhagyalaxmi Rolling Mill Pvt Ltd (Polaad TMT) has unchanged their offers at INR 33,800/MT.
-- Jalna based SRJ Peety Steels Pvt Ltd (Shree Om) is offering at INR 33,700/MT (down by INR 100/MT).
Note - Prices mentioned above are ex-work, excluding GST & changes are placed on day basis. Prices are subject to reconfirmation.
Reference prices as on 3rd July 2019
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| Scrap | Ex-Alang | HMS(80:20) | 23,800 | 23,700 | 23,900 | - 400 | 23,400 | 25,700 |
| Ex-Mumbai | HMS(80:20) | 22,500 | 22,400 | 22,600 | 0 | 22,500 | 24,900 | |
| Ex-Chennai | HMS(80:20) | 22,000 | 21,900 | 22,100 | 0 | 22,100 | 23,400 | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 18,500 | 18,400 | 18,600 | 0 | 17,750 | 19,400 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 17,000 | 16,900 | 17,100 | - 100 | 16,500 | 18,500 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 17,400 | 17,300 | 17,500 | - 100 | 17,200 | 19,300 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 16,900 | 16,800 | 17,000 | 0 | 17,200 | 19,000 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 17,500 | 17,400 | 17,600 | 0 | 16,750 | 18,400 |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 16,400 | 16,300 | 16,500 | - 200 | 16,200 | 18,100 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 16,500 | 16,400 | 16,500 | + 100 | 16,700 | 18,600 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 17,100 | 17,000 | 17,200 | + 100 | 17,100 | 19,100 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 31,600 | 31,500 | 31,700 | 0 | 31,100 | 34,000 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 28,250 | 28,200 | 28,300 | - 250 | 28,000 | 31,000 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 27,400 | 27,300 | 27,500 | 0 | 27,000 | 30,000 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 27,600 | 27,500 | 27,700 | - 200 | 27,550 | 30,300 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 29,300 | 29,200 | 29,400 | - 50 | 29,350 | 31,650 | |
| Billet | Ex-Mandi Gobindgarh | 100x100 mm, IS 2831 | 31,800 | 31,700 | 31,900 | 0 | 31,300 | 34,400 |
| Ex-Durgapur | 100x100 mm, IS 2831 | 28,650 | 28,600 | 28,700 | - 250 | 28,500 | 31,400 | |
| Ex-Rourkela | 100x100 mm, IS 2831 | 27,800 | 27,700 | 27,800 | - 100 | 27,350 | 30,500 | |
| Ex-Raipur | 100x100 mm, IS 2831 | 28,400 | 28,300 | 28,500 | - 100 | 28,200 | 31,000 | |
| Ex-Ahmedabad | 100x100 mm, IS 2831 | 30,200 | 30,100 | 30,300 | - 400 | 30,000 | 32,700 | |
| Ex-Mumbai | 100x100 mm, IS 2831 | 29,500 | 29,400 | 29,600 | - 50 | 29,550 | 31,900 | |
| Ex-Chennai | 100x100 mm, IS 2831 | 29,900 | 29,800 | 30,000 | - 100 | 30,100 | 31,500 | |
| Ex-Hyderabad | 100x100 mm, IS 2831 | 29,000 | 28,900 | 29,100 | 0 | 28,500 | 31,500 | |
| TMT | Ex-Delhi/NCR | 12-25 MM, IS 1786- 500 Fe | 35,400 | 35,200 | 35,500 | - 100 | 35,400 | 37,400 |
| Ex-Durgapur | 12-25 MM, IS 1786- 500 Fe | 33,700 | 33,500 | 33,900 | - 100 | 33,300 | 36,300 | |
| Ex-Raipur | 12-25 MM, IS 1786- 500 Fe | 32,500 | 32,500 | 32,700 | - 100 | 32,400 | 34,900 | |
| Ex-Mumbai | 12-25 MM, IS 1786- 500 Fe | 32,800 | 32,700 | 33,000 | 0 | 32,900 | 34,800 | |
| Ex-Chennai | 12-25 MM, IS 1786- 500 Fe | 34,900 | 34,800 | 35,200 | 0 | 35,100 | 36,400 | |
| Ex-Hyderabad | 12-25 MM, IS 1786- 500 Fe | 33,000 | 32,800 | 33,200 | 0 | 32,700 | 35,500 | |
| Wire Rod | Ex-Durgapur | Wire Rod(5.5 MM) | 33,200 | 33,000 | 33,700 | - 200 | 33,200 | 36,500 |
| Ex-Raipur | Wire Rod(5.5 MM) | 34,000 | 33,300 | 34,700 | - 400 | 33,700 | 36,300 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
