India: Vizag Steel Concludes 20,000 MT Billet Export Tender

Rashtriya Ispat Nigam Limited (RINL), also known as Vizag Steel is a Navratna had floated a tender for export of 10,000 MT billet, 20,000 MT Blooms, 10,000 MT Rounds and 3,000 MT Angles. The tender due date was 23 Feb'18 till 11:00 hrs. The material delivery is scheduled by 31 Mar'18.

The 10,000 MT billets (IS 2830) offered was of size 90*90 mm and had specifications as C-0.17-0.23%, Mn -0.6-1%, Si-0.4% max, P-0.05% max, S-0.05% max. According to market sources report to SteelMint, the steel maker has concluded the tender at around USD 520/MT, FoB basis.

The steel maker also offered 10,000 MT each of bloom (IS 2830) of sizes 150*150 mm and 200*200mm. The material specification are as follows: C-0.17-0.23%, Mn -0.3-1.5%, Si-0.4% max, P-0.05% max, S-0.05% max. According to trade sources report to SteelMint, the steel maker has concluded the 10,000 MT 150*150mm bloom tender at around USD 510-515/MT, FoB.

Currently, Indian billet offers for 125*125mm in domestic market are hovering around INR 34,100-34,200/MT Ex-Mumbai.

Global billet offers move up amid limited availability and strong scrap prices

Billet export offers have increased amid less supply and high global scrap prices. Also rising cost of graphite electrodes has supported billet export offers. Offers from CIS nations have increased amid active bookings from Turkish mills and are heard around USD 520-525/MT, FoB Black Sea.

Iran's KSC concluded export tender for 30,000 MT billets last week at around USD 515-520/MT, FoB Iran. The material shipment is expected to take place by mid/end Apr'18.

Domestic billet prices in China moved up after Lunar New Year Holidays. Towards mid of the last week prices of 150*150mm billet in Tangshan was around RMB 3,740/MT (incld 17% VAT). Current prices are assessed at RMB 3,800/MT (incld 17% VAT).

Global scrap prices have also moved up. US origin HMS (80:20) scrap prices are assessed at USD 362/MT, CFR Turkey, up by USD 10/MT W-o-W.