India: BigMint's billet index declines INR 100/t d-o-d - 17 Jan

• Buying demand remains slow on lower offers
  
  
• Finished steel prices fall INR 100/t d-o-d
  
  

BigMint's billet index dropped by INR 100/tonne (t) d-o-d to INR 38,700/t exw-Raipur on 17 January 2025.

The index experienced a slight decline today, driven by weak buying interest. Subdued demand pressured spot offers, resulting in a marginal drop toward the end of the day.

Demand in both the semi-finished and finished steel segments remained muted, as lower market offers failed to attract buyer acceptance.

In the finished steel market, prices for rebar fell by INR 100/t, while wire rod prices continued to remained stable d-o-d. Additionally, sponge iron prices in Raipur also dropped by INR 100/t today.

The conversion spread from sponge iron (PDRI) to billets for standalone furnaces in the region was recorded at INR 14,550/t.

Rationale

This index has been derived based on transactions, offers, bids and indicative price data sets. Transactions are considered as T1 and given a weightage of 50%, whereas other data sets are considered as T2 and given a weightage of the balance 50%.

• Transactions (T1) - Two trades at INR 38,700/t were recorded during the 2:30 pm to 5:30 pm BigMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 38,700/t, which was given 50% weightage in the final price calculation.
  
  
• Other price indicators - bids/offers/indicative (T2) - Twelve offers were reported in the trading window and considered as T2 inputs. The average price of these twelve was INR 38,744/t and given 50% weightage in the final price calculation.
  
  

The final price of billets exw-Raipur was INR 38,722/t, rounded off to INR 38,700/t exw.

Click here for detailed methodology