Indian 30,000 MT Pig Iron Export Tender Update

MMTC, India's largest and state owned trading house, had floated an export tender of 30,000 MT Pig Iron which expired on 12 May'17 for Jun'17 delivery.

According to the sources, Company managed to receive two bids, which were at USD 280/MT and 300/MT FOB India. According to market participants, tender may get cancelled on higher price expectation from MMTC. Notably domestic prices are hovering at INR 22,900/MT (USD 357) on ex-mill basis.

Global pig iron market is quiet from sometime owing to volatility in scrap prices and on news that China may start exporting scrap in big way.

Last tender of MMTC for export of 30,000 MT pig iron closed on 13 Apr'17 has been canceled due anticipation of higher bids. Company had received bids from two participants at a price level of USD 295-300/MT FOB India east cost.

Falling Coking Coal Prices Will Further Affect Indian Pig Iron Market ?

Global Coking coal prices which jumped to USD 250/MT due to Debbie cyclone in Australia is now slip to USD 178/MT FoB. With steep corrections in coal prices, there is remain a worried situation and a question for pig iron price trend that it will remain on negative trend ?

Currently the prices of steel grade pig iron are hovering at INR 22,500-23,000/MT in East India (Ex-Durgapur & Rourkela) while in Central region are at INR 24,500/MT (ex-Raipur); prices slump by INR 1,000-2,000/MT