India: Sponge iron prices fall further amid market uncertainty - 19 Dec

Sponge iron prices in India inched down further amid uncertain market conditions in key locations. Prices fell across the country by INR 100-600/t on 19 December, 2023.

However, CDRI prices only in Ramgarh showed a slight rise by INR 50/t.

PDRI market prices closed at a range of INR 25,900-29,100/t and CDRI prices, at INR 28,250-32,500/t.

Prices were down on fluctuations in steel prices. However, spot trade volumes increased on lower offers on a d-o-d basis.

About 17,200 tonnes (t) of sponge iron transactions were recorded in the country on Tuesday compared to 9,360 t on 18 December.

Overall, uncertainty in steel prices has led to instability in sponge iron prices. Hence, market sources are worried about price swings, SteelMint learnt.

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