Daily Update: Indian Sponge & Billet Market
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Indian spot steel trades remained dull amid limited inquiries with the producers. However, despite fewer trades the prices of Billet have marginally fluctuated by INR 100-300/MT D-o-D, while Sponge iron offers fell slightly.
SteelMint's latest price assessment for induction furnaces billet in Indian market stood at INR 30,200-34,100/MT (USD 421-476) ex-plant.
Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 20,200-21,400/MT (USD 282-299); prices are ex-plant & excluding GST.
Rupee & BSE Sensex
-- On 13th December 2018 (Thursday) INR to USD exchange rate stood at INR 71.58.
-- ICEX (Indian Commodity Exchange Ltd) Jan'19 contract for STEELLONG today open at INR 33,780/MT & last traded (IST 18:37) at INR 33,780/MT.
-- BSE Sensex closed at 35,929(+150) on Thursday, as against last day (Wednesday) at 35,779(+629).
-- NSE Nifty50 index was closed today at 10,791(+53).
Raw Materials
-- NMDC has announced a second price cut of about 10% in the price of mineral for the month of December- sources.
-- IDCOL has issued tender for sale of around 11,400 MT iron ore from its Roida 'C' iron and manganese mines, Keonjhar (Odisha). The due date for bid submission is 20 Dec'18.
-- Bhushan Steel - a major integrated steel maker has recorded iron ore sourcing at 0.39 MnT in Nov'18, down by 8% M-o-M as against 0.42 MnT in Oct'18.
-- Imported scrap offers to India for HMS 1&2 (80:20) Dubai origin containers stood at around USD 325-330/MT, CFR Nhava Sheva
-- According to the latest assessment of Coking coal, spot prices of the Premium HCC are reported at around USD 226/MT FoB Australia & USD 238.8/MT CNF India.
Semi Finished
-- Steel Authority of India - a government of India Company has floated the export tender for 16,200 MT billets from its IISCO Steel Plant. The due date for bid submission is 15:00 hrs as per IST on 15 Dec'18.
-- Ludhiana, North India based trade participants reported steel & foundry grade pig iron offers at INR 31,100/MT & INR 33,000/MT on FoR basis & excluding 18% GST.
-- Raipur, Central India based Integrated plants offering Sponge P-DRI at INR 19,800-19,900/MT & Sponge DR CLO grade at INR 22,300-22,500/MT ex-plant
-- Raigarh based Singhal Steel offered P-DRI at INR 19,000/MT ex-Raigarh, an official reported. Also, the company offered Billets at INR 30,700/MT FoR Raipur. As per officials, trade activities are weak at the offer prices.
-- In West Bengal - Durgapur, big manufacturers have increased sponge prices by INR 100-200/MT D-o-D; offering P-DRI at INR 19,000-19,200/MT.
-- Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 20,400/MT & Billet at INR 30,000/MT ex-plant.
-- BMM Ispat, a renowned sponge manufacturer offered FeM 80 P-DRI lumps at INR 19,700-19,800/MT ex-Bellary, offers decline by INR 400-500/MT from the last trade; an official reported.
-- BIOP Steels in South India has decreased sponge prices by INR 300/MT, offering FeM 80 & 82 C-DRI lumps at INR 20,300/MT & INR 20,700/MT ex-plant, Karnataka; an official reported.
-- Apple Industries in Bellary (Karnataka) offered Sponge FeM 83+ P-DRI lump at INR 21,000/MT & Billet at INR 32,500/MT ex-plant.
-- South India (Telangana) based Cauvery Iron & Steel offers FeM 80 P-DRI & Billet at INR 20,500-20,600/MT & INR 32,000/MT. Also offering 28 MM Rebar at INR 34,500/MT. All prices are ex-plant & excluding GST.
Finished Long
-- Raipur based wire rod manufacturers kept offers unchanged and trade discount through the manufacturers/suppliers almost similar at around INR 800-1,000/MT. The offers for 5.5 mm wire rod is hovering around INR 37,800/MT ex-Raipur & INR 36,800-37000/MT ex-Durgapur
-- Mandi Gobindgarh, North India based ERW pipe manufacturers reduced prices by INR 200/MT & offers reported at around INR 40,300/MT ex-plant & excluding GST.
-- Hyderabad (South India) based Pipe manufacturer Hari Om Pipe Industries Ltd has offered ERW Pipe at around INR 40,000/MT ex-plant. (basic & excluding GST).
-- Chennai based ARS Steel (Trusteel) kept TMT (12 mm) offers unchanged to INR 40,000/MT. Ex-work and excluding GST
-- Mumbai based Guardian TMT (12 mm) offering at INR 36,000/MT, up by INR 300/MT. Prices are ex-work and excluding GST
Reference prices as on 13th December 2018
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| Scrap | Ex-Alang | HMS(80:20) | 26,200 | 26,100 | 26,300 | 0 | 26,800 | 27,300 |
| Ex-Mumbai | HMS(80:20) | 26,000 | 26,000 | 26,200 | 0 | 26,200 | 26,300 | |
| Ex-Chennai | HMS(80:20) | 24,900 | 24,800 | 25,000 | 0 | 24,900 | 26,800 | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 20,200 | 20,100 | 20,300 | - 50 | 21,600 | 23,200 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 20,400 | 20,300 | 20,500 | 0 | 20,800 | 21,900 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 21,400 | 21,300 | 21,500 | - 200 | 21,900 | 22,700 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 20,400 | 20,300 | 20,500 | - 100 | 20,800 | 21,600 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 19,150 | 19,100 | 19,200 | - 100 | 20,600 | 22,200 |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 19,900 | 19,800 | 19,900 | - 100 | 20,500 | 20,900 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 19,800 | 19,700 | 19,900 | - 200 | 20,200 | 20,900 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 20,600 | 20,500 | 20,700 | - 100 | 20,800 | 21,500 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 33,800 | 33,700 | 33,900 | + 100 | 34,900 | 35,950 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 30,100 | 30,000 | 30,200 | - 200 | 31,500 | 33,300 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 29,800 | 29,700 | 29,900 | - 100 | 30,700 | 32,400 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 30,200 | 30,100 | 30,300 | + 200 | 31,250 | 32,650 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 32,500 | 32,400 | 32,600 | + 100 | 33,400 | 33,800 | |
| Billet | Ex-Mandi Gobindgarh | 125x125 mm, IS 2831 | 34,100 | 34,000 | 34,200 | + 100 | 35,200 | 36,750 |
| Ex-Durgapur | 125x125 mm, IS 2831 | 30,600 | 30,500 | 30,700 | - 200 | 31,900 | 33,600 | |
| Ex-Rourkela | 125x125 mm, IS 2831 | 30,200 | 30,100 | 30,200 | - 50 | 31,000 | 32,900 | |
| Ex-Raipur | 125x125 mm, IS 2831 | 30,800 | 30,700 | 30,900 | + 50 | 31,900 | 33,250 | |
| Ex-Ahmedabad | 125x125 mm, IS 2831 | 33,100 | 33,000 | 33,200 | 0 | 33,900 | 34,750 | |
| Ex-Mumbai | 125x125 mm, IS 2831 | 32,900 | 32,800 | 32,900 | + 300 | 33,600 | 34,100 | |
| Ex-Chennai | 125x125 mm, IS 2831 | 33,500 | 33,400 | 33,600 | 0 | 33,500 | 35,000 | |
| Ex-Hyderabad | 125x125 mm, IS 2831 | 32,000 | 31,900 | 32,100 | - 300 | 33,000 | 34,500 | |
| TMT | Ex-Delhi/NCR | 12-25 MM, IS 1786- 500 Fe | 37,200 | 37,000 | 37,500 | 0 | 37,800 | 38,900 |
| Ex-Durgapur | 12-25 MM, IS 1786- 500 Fe | 36,200 | 36,000 | 36,500 | - 100 | 37,100 | 39,000 | |
| Ex-Raipur | 12-25 MM, IS 1786- 500 Fe | 34,800 | 34,600 | 35,000 | - 100 | 35,500 | 36,400 | |
| Ex-Mumbai | 12-25 MM, IS 1786- 500 Fe | 36,000 | 35,900 | 36,100 | + 100 | 36,600 | 37,700 | |
| Ex-Chennai | 12-25 MM, IS 1786- 500 Fe | 37,700 | 37,500 | 38,000 | 0 | 37,700 | 39,400 | |
| Ex-Hyderabad | 12-25 MM, IS 1786- 500 Fe | 36,800 | 36,500 | 37,000 | + 100 | 37,500 | 38,500 | |
| Wire Rod | Ex-Durgapur | Wire Rod(5.5 MM) | 37,000 | 36,800 | 37,200 | - 200 | 38,200 | 39,700 |
| Ex-Raipur | Wire Rod(5.5 MM) | 37,800 | 36,800 | 37,800 | - 500 | 38,800 | 40,200 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
