India: Sponge iron prices drop on moderate buying - 9 Aug

Indian sponge iron prices dropped INR 50-350/t today in all major locations. Sponge iron prices fell as a result of the weakening in semi-finished and finished steel prices due to soft demand.

PDRI prices were assessed at INR 23,200-26,300/t and CDRI prices at INR 25,650-29,800/t.

South African RB2 coal prices remained stable. Non-coking coal (5500 NAR) prices exw Gangavaram stood at INR 9,650/t ($114/t).

Prices continued to fall as buying activity remained modest: only 6,500 t of sponge iron transactions were recorded today compared to 3,000 t on 8 August.

Rationale -

Prices have 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%.

Click for detailed methodology

T1 - Trade, T2 - Offer/Bid/Indicative