India: Semis prices drop on weak demand in Durgapur, West Bengal

Induction furnace (IF)-route semi-finished steel prices in Durgapur, West Bengal, decreased marginally today. Offers floated by the mills were lower by up to INR 200/t d-o-d.

Sponge iron prices were stable at INR 31,800/t and around 3,400 t of deals were recorded at INR 31,700-31,900/t DAP Durgapur.

Meanwhile, billet prices witnessed a marginal fall of INR 50/t. Sellers quoted offers but buyers remained absent. Around 1,900 t of deals were recorded at INR 47,700-47,800/t DAP Durgapur.

Prices of finished long steel declined by INR 200/t today. Offers for rebars Fe 500 were at INR 50,700-51,200 and those of wire rods 5.5mm were at INR 51,000-51,400/t exw-Durgapur. Collectively, around 2,700 t deals were recorded by SteelMint in today's trading window.

Semis producers remained under pressure as the conversion spread was still lower and finished long steel demand was weak. Participants are hoping for an improvement in demand from construction and other sectors. Therefore, it is expected that prices may recover and piled inventories get cleared soon, sources have informed SteelMint.