India: Domestic Pellet Offers Fall Amid Declining P-DRI Prices

SteelMint in conversation with market participants learned that central India based pellet makers have lowered offers by INR 200/MT. Current offers for Fe 63% is at INR 6,800/MT (ex-Raipur, GST extra). Not significant deals were reported at last offers of INR 7,000/MT. P-DRI prices declined to INR 15,900/MT today as compared to INR 16,500-16,700/MT (basic) a week ago.

Durgapur pellet assessment falls - SteelMint's Durgapur (eastern India) based pellet assessment stands at INR 6,200-6,300/MT lower by about INR 300/MT as compared to INR 6,500-6,600/MT (delivered) towards beginning of last week.
P-DRI prices in Durgapur fell sharply to INR 16,700/MT W-o-W against last week assessment of INR 17,400-17,600/MT.

Jindal SAW lowers pellet offers - West India (Rajasthan) based pellet maker - Jindal SAW decreased pellet (Fe 63%) offers for the week at INR 8,700/MT (delivered Kandla) as against INR 9,100/MT a week ago. Jindal SAW runs a 1.5 MnT pellet plant in Bhilwara (Rajasthan).

The fall in prices is attributed to sharp fall in iron ore prices. The spot iron ore prices (Fe 62%) fell by USD 12/MT in a week's time to USD 114.25/MT towards last weekend as against USD 126.20/MT towards beginning of the week.