Indian billets export offers to Nepal rise further

Indian billets export offers to Nepal rose by upto $15/t, w-o-w, on the back of strong steel prices in the Indian market amidst surging coal, coke prices and active demand.

• About three-four rakes of BF-route billets deals from India were reported to Nepal this week at around $655-660/t. Fresh offers have been increased to around $670-675/t CPT Nepal.
  
  
• Also, offers of IF-route billets rose slightly by upto by $5/t, w-o-w, to $640/t exw-Durgapur, equivalent to $665/t CPT Nepal, as against about $660-665/t CPT Nepal last week. About 1,000 t deals were confirmed this week.
  
  

Wire rod offers rise

• Following a rise in billets offers, export offers of wire rod have also moved up. Offers of BF-wire rod (SAE 1008) stood at $730-735/t compared to around $720/t CPT Nepal last week. No deal was reported due to disparity between bids and offers.
  
  
• Wire rod offers from mid-sized mills were reported at $700/t exw-Durgapur, equivalent to $725/t CPT Nepal, higher by $5/t, w-o-w.
  
  

Sponge iron demand lowers on rising offers

• Indian sponge iron (iron ore-based DRI, 70% lumps and 30% fines, FeM 80%) export offers increased this week by $10/t to around $505-510/t (loaded on to rake), equivalent to $530-535/t CPT Nepal.
  
  
• Meanwhile, a deal for a rake of sponge iron was reported in the begining of the week at around $500/t (loaded on to rake), equivalent to $525/t CPT Nepal.
  
  

Nepal's domestic rebar prices up slightly on higher input costs

• With a constant increase in raw materials import prices from India, Nepal mills have raised their rebar offers despite moderate domestic demand.
  
  
• Rebar offers marked an increase of NPR 1,000/t ($8/t), w-o-w, with fresh offers for 10-20mm hovering at NPR 90,000/t ($750/t). Prices are on an ex-works basis, excluding VAT.
  
  

Trade statistics (16 Dec'21-15 Jan'22)

• Nepal's steel imports dropped by upto 16%, m-o-m in the period under review.
  
  
• Wire rod imports were recorded at 18,130 t, down by 15% m-o-m.
  
  
• Billet imports were reported at 53,075 t, fell by 15.6% m-o-m.
  
  
• However, sponge iron (DRI) imports increased to 36,387 t, rising by 17% m-o-m.