India: Domestic Pellet Market Witnesses Active Trades Amid Decline in Offers
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Decent pellet trades were reported in central & southern India this week after slight reduction in offers.
Durgapur pellet assessment up slightly
In Durgapur SteelMint's reference, pellet price picked up slightly to INR 5,300-5,400 (ex-Durgapur, GST extra), against INR 5,200-5,400/MT a week ago.
P-DRI prices in Durgapur are currently seen at INR 15,700/MT (Ex-plant) up as compared to 15,400-15,600/MT (Ex-plant) last week. One of the pellet maker from Durgapur not offering pellet in the domestic market.
Trades pick up in Raipur pellet market
Raipur (central India) pellet prices assessed at INR 5,800/MT this week. Central India based pellet makers kept pellet offers stable at INR 5,800/MT amid active transactions reported in line with end of last week assessment. Pellet deal of 5,000 MT reported to Raipur market and remaining 8,000 MT outside Raipur at INR 5,700- 5,800/MT (Ex-plant). Towards end of last week, Raipur pellet makers had cut offers by INR 200/MT.
P-DRI assessment increased by INR 200/MT W-o-W to INR15,900/MT (Ex-Raipur) against INR 15,700/MT last week.
Southern India pellet offers down
Southern India (Bellary) based pellet makers decreased pellet prices by INR 100/MT to INR 6,200-6,400/MT (ex-Bellary) against last offer at INR 6,300-6,500/MT. Active bookings of over 35,000 MT pellets reported by South India based pellet makers in last one week at around INR 6,250-6,300/MT (Ex-Bellary). A major pellet maker was heard to have sold 10,000 MT high grade pellets at INR 6,500/MT.
P-DRI prices in Bellary decreased W-o-W to INR 15,700/MT as against INR 15,900/MT last week.
Indian pellet trade updates:
--Jajpur based pellet maker-BRPL is offering pellets to Kalinganagar based units at INR 6,200/MT.
-- Western India (Rajasthan) based pellet maker -Jindal SAW kept pellet (Fe 63%) offers stable at INR 8,050/MT (delivered Kandla).
-- Monnet Ispat Ltd (Raigarh) is offering pellets at INR 5,600/MT (Ex-plant) and concluded a deal for 1,000-1,500 MT P-DRI at INR 15,100/MT (Ex-plant) few days back, as per officials.
SteelMint pellet reference prices as on 15th Oct'19
| City | Grade (Fe %) | Basic Prices in INR/MT |
| Durgapur | 63 | 5,300-5,400 |
| Barbil* | 63 | 5,000-5,400 |
| Raigarh | 63 | 5,600 |
| Raipur | 63 | 5,800 |
| Bellary | 63 | 6,200-6,400 |
| Kandla** | 63 | 8,050 |
**delivered
* Loaded to wagon
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research
