Daily Update: Indian Sponge & Billet Market
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Indian Semi finished prices registered volatility on today trades amid average inquiries. As per SteelMint assessment the price fluctuation have seen in Sponge iron by INR 100/MT & Billet by INR 100-300/MT.
The market participants are assuming, further rise in prices looking at supportive demand amid less inventories with the manufacturers. They also added that, power shortage is a major factor which may force producers to raise prices.
The latest price assessment for induction furnaces billet in Indian market stood at INR 34,300-37,800/MT (USD 525-579) ex-plant. Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 20,600-22,100/MT (USD 315-339); prices are ex-plant & excluding GST.
Rupee & BSE Sensex
-- On 13th Apr 2018 (Friday) INR to USD exchange rate stood at INR 65.27
-- BSE Sensex closed at 34,192(+91) on Friday, as against last day (Thursday) at 34,101(+160).
Raw materials
-- JSW Steel's Iron ore sourcing increased by 11% in FY'18 & stood at 33.10 MnT against 29.85 MnT in FY'17.
-- India has produced around 201.8 MnT of Iron ore in CY17, surge by 9% against 184.5 MnT in CY'16, according to Indian Bureau of Mines
-- Goa iron ore production increased sharply by 56% to 8.6 MnT in CY'17 against 5.5 MnT in CY'16.
Semi finished
-- RSP (Rourkela Steel Plant) tender held on 11th Mar'18 to sell about 3,800-4,000 MT steel grade pig iron have received good response. The base price of the tender was at INR 29,600-29,800/MT and the total quantity have been sold out.
-- Jindal Steel offered Granulated Pig iron (Panther shots) at INR 29,500/MT ex-plant, Angul (Odisha) and excluding GST at 18%. Also offering Pig iron from its Raigarh based plant at INR 31,000/MT ex-plant.
-- Indian Sponge iron export offers to Bangladesh for lumps of grade FeM 78-80, recorded at USD 365/MT CPT Benapole (dry land port of Bangladesh & India) and USD 385/MT CFR Chhittagong, Bangladesh.
-- Raipur, Central India based Integrated plants offer unaltered, offering Sponge P-DRI at INR 20,500-20,600/MT ex-plant
-- Jharkhand Ispat has raised prices and the current offers hovering for Sponge C-DRI lumps at INR 21,200/MT & Sponge P-DRI at INR 19,600/MT (FeM 80 +/-1%) ex-plant, Jharkhand. The freight charges via road to Mandi Gobindgarh-Punjab reported at INR 2,500-2,700/MT.
-- As per manufacturers in Durgapur, West Bengal - power cut starts again by DVC (Damodar Valley Corporation) which is one of the major source for power to the state based steel industries. As per them power cut is about 20% from today onwards.
-- Indian induction grade billet export offers to Nepal is hovering at USD 535-540/MT ex-mill, Durgapur & USD 530/MT ex-mill Odisha, Eastern India.
-- Punjipatra, Raigarh based steel manufacturers are still facing problems of power cut by JPL.
-- Bhashkar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 21,000/MT & billet at INR 34,300-34,400/MT ex-plant.
-- BMM Ispat in Karnataka has offered sponge P-DRI at INR 19,900-20,000/MT and Sunvik Steels sponge C-DRI lumps at INR 21,300/MT. Both offers for FeM 80, excluding GST & ex-plant basis.
-- Apple Industries in Bellary (Karnataka) offered Sponge FeM 85+ C-DRI lump at INR 22,800/MT & Billet at INR 36,400/MT ex-plant.
Finish Long
-- Rathi Steels in North India - Delhi have unchanged their price today and current offering at INR 42,400/MT, size - 12 mm & excluding 18% GST.
-- West region- Maharashtra based - Vistar TMT (earlier known as Vaishnav TMT) has offered basic Rebar at INR 36,900/MT, ex-works, Wada & excluding GST.
-- South Region based - Prime Gold Int'l Ltd offering rebars at INR 42,800/MT (12 mm) for Chennai, ex-work & excluding GST.
-- Goa based Rebar manufacturer increased gauge parity price by around INR 300/MT to INR 2,300/MT & INR 3,300/MT for 10-25 MM & 8-32 MM and current offering 12 mm rebars at INR 42,100-42,500/MT, ex-work & excluding GST.
-- Central region- Raipur based Wire rod manufacturers increased Wire Rod to HB difference by INR 200/MT to INR 2,100/MT w.e.f. 12.04.18.
Reference prices as on 13th April 2018
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| Scrap | Ex-Chennai | HMS(80:20) | 25,800 | 25,700 | 25,900 | 0 | 25,700 | 26,200 |
| Ex-Mumbai | HMS(80:20) | 26,000 | 25,900 | 26,100 | 0 | 25,600 | 25,400 | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 21,000 | 20,900 | 21,100 | 0 | 20,000 | 21,300 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 20,900 | 20,800 | 21,000 | 0 | 20,300 | 20,400 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 22,100 | 22,000 | 22,200 | - 100 | 21,500 | 21,600 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 20,600 | 20,500 | 20,700 | - 100 | 20,500 | 21,000 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 19,500 | 19,400 | 19,600 | 0 | 18,500 | 20,000 |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 20,500 | 20,400 | 20,600 | 0 | 19,900 | 19,900 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 20,000 | 19,900 | 20,100 | 0 | 19,800 | 20,100 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 20,900 | 20,800 | 21,000 | 0 | 20,700 | 20,800 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 37,200 | 37,100 | 37,300 | + 200 | 36,350 | 35,000 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 34,500 | 34,400 | 34,600 | 0 | 33,500 | 32,700 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 33,800 | 33,700 | 33,900 | + 100 | 32,300 | 31,600 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 34,600 | 34,500 | 34,700 | + 100 | 32,950 | 32,250 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 36,000 | 35,900 | 36,100 | 0 | 35,300 | 35,000 | |
| Ex-Chennai | 3.5 x 4.5 Inch, IS 2830 | 36,000 | 35,900 | 36,100 | 0 | 36,000 | 35,500 | |
| Ex-Hyderabad | 3.5 x 4.5 Inch, IS 2830 | 35,200 | 35,100 | 35,300 | - 200 | 34,200 | 34,300 | |
| Billet | Ex-Mandi Gobindgarh | 125x125 mm, IS 2831 | 37,800 | 37,700 | 38,000 | + 200 | 37,000 | 35,800 |
| Ex-Durgapur | 125x125 mm, IS 2831 | 35,100 | 35,000 | 35,200 | - 100 | 34,000 | 33,200 | |
| Ex-Rourkela | 125x125 mm, IS 2831 | 34,300 | 34,200 | 34,400 | + 100 | 32,800 | 32,500 | |
| Ex-Raipur | 125x125 mm, IS 2831 | 35,200 | 35,100 | 35,300 | 0 | 33,600 | 33,100 | |
| Ex-Mumbai | 125x125 mm, IS 2831 | 36,200 | 36,100 | 36,300 | 0 | 35,500 | 35,100 | |
| Ex-Chennai | 125x125 mm, IS 2831 | 36,500 | 36,400 | 36,600 | 0 | 36,500 | 36,000 | |
| Ex-Hyderabad | 125x125 mm, IS 2831 | 35,500 | 35,300 | 35,700 | - 250 | 34,500 | 34,500 | |
| TMT | Ex-Delhi/NCR | 12MM | 40,600 | 40,500 | 40,800 | 0 | 39,700 | 38,300 |
| Ex-Durgapur | 12MM | 39,600 | 39,400 | 39,800 | 0 | 38,500 | 38,000 | |
| Ex-Raipur | 12MM | 38,900 | 38,700 | 39,100 | 0 | 37,200 | 37,200 | |
| Ex-Mumbai | 12MM | 40,100 | 39,700 | 40,200 | + 100 | 39,000 | 38,500 | |
| Ex-Chennai | 12MM | 41,000 | 40,700 | 41,100 | 0 | 41,000 | 40,700 | |
| Ex-Hyderabad | 12MM | 40,500 | 40,300 | 40,700 | 0 | 39,500 | 40,000 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
