Daily Update: Indian Sponge & Billet Market
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In the week opening, domestic Semi-finished offers rise further for both Sponge iron & Billet by INR 200-500/MT (USD 3-8) on improved demand.
SteelMint's price assessments for induction furnaces billet size 125x125 mm are reported at INR 25,800-28,100/MT (USD 398-434) ex-plant.
Further the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 16,600-18,000/MT (USD 256-278); prices are ex-plant & excluding GST.
Today (Monday, October 30, 2017) INR to USD exchange rate stood at INR 64.86 & BSE Sensex closed at 33,266 (+108).
Key Market Updates:
1. Odisha Iron ore production fell by 21% Q-o-Q to 20.58 MnT in Q2 FY'18 against 25.98 MnT in Q1 FY18.
2. Pig iron offers further increase in Durgapur and the fresh offers are assessed at INR 23,500/MT against last week trades at INR 23,000-23,200/MT.
3. RSP (Rourkela Steel Plant) tender held on 26th Oct to sell about 3,000 MT steel grade pig iron have received poor response. According to market participants, the company was able to sell only 500 MT pig iron and the remaining material is unsold. The bid price of the tender was near to INR 22,900/MT (ex-plant).
4. According to sources in Durgapur, Rashmi Metaliks today has increased offers by INR 200/MT to INR 17,000-17,100/MT for P-DRI & INR 17,800-17,900/MT for C-DRI.
5. Jalna, Maharashtra purchased C-DRI lumps FeM 80% from Rourkela at INR 16,900-17,000/MT (ex-plant); freight to Jalna at INR 2,100-2,200/MT, the trade participants reported.
6. Jharsugda based Shyam Metaliks has increased offers by INR 200-300/MT; the fresh offers for P-DRI at around INR 16,000/MT & Billet at INR 26,300/MT; ex-plant & excluding GST.
7. BIOP Steels in South India has increased sponge offers by INR 300/MT, offering FeM 80 & 82 C-DRI lumps at INR 17,100/MT & 17,400/MT ex-plant, Karnataka.
8. Sunvik Steels in Karnataka kept sponge prices unaltered; offering FeM 80 & 82 C-DRI are INR 17,400/MT and INR 17,800/MT ex-plant.
9. Indian Induction furnace grade billet export offers for Nepal increase by USD 10/MT (W-o-W) due to rising domestic prices. The latest offers are reported at USD 415/MT (ex-mill) Rourkela & USD 420/MT (ex-mill) Durgapur.
10. Mono Steels based in Gujarat, West India has concluded a rebar export deal for South East Asia - Jakarta at USD 570/MT CFR, during last week. The shipment of material will be during mid of Nov'17, officials reported.
11. Indian Medium & Small mills today increase rebar, structure & wire offers by INR 100-300/MT over improved demand and rising billet prices.
Reference prices as on 30th October 2017
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 17,900 | 17,800 | 18,000 | + 400 | 17,000 | NA |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 16,650 | 16,600 | 16,700 | + 250 | 16,000 | 16,000 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 18,000 | 17,900 | 18,100 | + 200 | 17,100 | 16,500 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 17,000 | 17,000 | 17,100 | + 200 | 16,800 | 16,250 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 17,400 | 17,200 | 17,500 | + 400 | 17,000 | 17,000 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 17,100 | 17,000 | 17,200 | + 400 | 16,300 | NA |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 16,550 | 16,500 | 16,600 | + 100 | 15,800 | 15,100 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 16,800 | 16,700 | 16,900 | + 200 | 16,600 | 16,100 | |
| Ex-Hyderabad | Lumps, FeM 80%, +/-1 | 17,400 | 17,300 | 17,500 | + 400 | 17,000 | 17,000 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 28,950 | 28,900 | 29,000 | + 150 | 28,150 | 28,250 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 26,950 | 26,900 | 27,000 | + 350 | 26,000 | NA | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 25,650 | 25,600 | 25,700 | + 150 | 25,100 | 25,100 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 26,400 | 26,300 | 26,500 | + 250 | 25,500 | 25,850 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 27,350 | 27,300 | 27,400 | + 300 | 26,300 | 26,000 | |
| Ex-Chennai | 3.5 x 4.5 Inch, IS 2830 | 27,000 | 26,900 | 27,100 | 0 | 27,250 | 27,000 | |
| Ex-Hyderabad | 3.5 x 4.5 Inch, IS 2830 | 27,250 | 27,000 | 27,500 | + 150 | 27,100 | 26,800 | |
| Billet | Ex-Mandi Gobindgarh | 125x125 mm, IS 2831 | 29,400 | 29,300 | 29,500 | + 100 | 28,500 | 28,700 |
| Ex-Durgapur | 125x125 mm, IS 2831 | 27,400 | 27,300 | 27,500 | + 400 | 26,400 | NA | |
| Ex-Rourkela | 125x125 mm, IS 2831 | 26,000 | 26,000 | 26,100 | + 200 | 25,500 | 25,400 | |
| Ex-Raipur | 125x125 mm, IS 2831 | 26,800 | 26,700 | 27,000 | + 100 | 26,100 | 26,200 | |
| Ex-Mumbai | 125x125 mm, IS 2831 | 27,600 | 27,600 | 27,700 | + 200 | 26,500 | 26,200 | |
| Ex-Chennai | 125x125 mm, IS 2831 | 27,500 | 27,300 | 27,700 | 0 | 27,750 | 27,500 | |
| Ex-Hyderabad | 125x125 mm, IS 2831 | 27,250 | 27,000 | 27,500 | + 150 | 27,100 | 26,800 | |
| TMT | Ex-Delhi/NCR | 12MM | 33,700 | 33,500 | 33,900 | + 200 | 32,500 | 31,700 |
| Ex-Durgapur | 12MM | 30,300 | 30,100 | 30,500 | + 300 | 29,500 | NA | |
| Ex-Raipur | 12MM | 29,700 | 29,500 | 29,900 | + 300 | 28,800 | 29,200 | |
| Ex-Mumbai | 12MM | 30,800 | 30,400 | 30,900 | + 200 | 29,900 | 29,700 | |
| Ex-Chennai | 12MM | 31,700 | 31,500 | 31,900 | 0 | 31,500 | 31,500 | |
| Ex-Hyderabad | 12MM | 30,100 | 30,000 | 30,200 | 0 | 30,100 | 29,800 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
