Indian Billet Export Offers to Nepal Increases, Buying Remain Subdued

Rising export offers has made demand sluggish from Nepal's re-rollers, as per participants.

Induction grade Billet export offers to Nepal increased about USD 10/MT day-on-day. Similarly, Wire rod export offers being raised by USD 5-10/MT.

As per update, the current export offers of Billet produced through EA or induction furnaces are evaluated at USD 505-510/MT ex-Durgapur, East India, equivalent to USD 530-535/MT CFR Raxaul border, Nepal. As per participants, small lots have been concluded on 23rd Aug at around USD 491-494/MT ex-Durgapur, on CFR basis this will cost about USD 520-525/MT CFR Raxaul border, Nepal.

Further, Wire rod export offers to Nepal raised to USD 585-590/MT as against the previous day at around USD 580/MT, ex-mill, Durgapur, East India. On CFR basis the latest price will charge high by about USD 25-30/MT CFR Raxaul border, Nepal.

The rise in export prices attributes to significant surge in Indian domestic prices. As per assessment, in a week duration domestic Billet & Wire rod prices in East India, Durgapur increase by around INR 1,500-2,000/MT (USD 21-29).

Large mills to raise prices

Amid surge in export prices by medium mills, the large mills who make steel from Blast furnaces are also planning to conclude deal at increased prices by USD 10-15/MT.

As per participants, in recent a large mill based in Jharkhand has concluded Wire rod export deal to Nepal at around USD 610-615/MT CFR Raxaul border, Nepal. However currently the company has put on hold the offers due to sharp surge in prices by medium mills.

Meanwhile, the latest Blast furnace grade Billet export offers indicated at about USD 545-550/MT, which was few days ago around USD 530-535/MT; CFR Raxaul border, Nepal.