India: Domestic Pellet Offers Continue Downside

Further Declining pellet prices in the domestic market led the pellet makers to hold an offer and watch the market closely.

Indian pellet prices have witnessed a decline in prices by INR 100-900/MT W-o-W. West India based pellet maker - Jindal SAW has lowered pellet offers by Rs 900/MT in last two weeks to INR 8,300/MT, delivered Kandla against the last week assessment INR 9,200/MT. Jindal SAW runs a 1.5 MnT pellet plant in Bhilwara (Rajasthan). Pellets offers are decreased owing to decrease in demand and decline in the imported lump at USD 85/MT.

Durgapur pellet price decline amid surge in P-DRI prices - Durgapur pellet price fell sharply to INR 6,500-6,700/MT this week against the last week assessment to INR 6,700-7,000/MT.

Similarly, P-DRI prices have increased by INR 300/MT to INR 20,700-20,900/MT against last week assessment at INR 20,500/MT.

Pellet prices of Durgapur have come down sharply by INR 1,200-1,300/MT in a month times.

Central India pellet prices stable W-o-W-: According to market sources, Central India (Raipur) pellet offers remains stable to from the last week assessment. Pellet offers from pellet makers are around INR 6,400-6,500/MT (ex-Raipur). Few major pellet makers from Central India hold the offers. They have still adopted the wait and watch policy to observe market more closely.

Pellet prices of Central India have come down sharply by INR 1,400-1,500/MT in a month times.

P-DRI prices in Raipur have also increased by INR 300-550/MT to INR 20,300-20,500/MT against last week assessment at INR 20,000/MT.

Southern India pellet prices stable -: Southern India (Bellary) based pellet prices marginally increased this week to INR 7,300-7,400/MT (basic) against last week's assessment at INR 7,200-7,400/MT. P-DRI prices are decreased marginally by INR 100/MT to INR 20,000/MT against INR 20,100/MT last week assessment.

Indian Pellet Reference prices as on 04th Dec'18

**delivered
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research