Indian DRI, billet and re-bar update - 16 Nov

The Indian induction furnace (IF) steel market witnessed a further drop in prices on 16 Nov'21, while demand improved at a few major locations including the central region. As per assessment, the prices of the mid-sized mills fell by up to INR 2,100/tonne (t) ($22/t).

Sponge iron offers dropped by INR 200-600/t, although a marginal hike of INR 200/t was seen in Raipur. On the other hand, domestic billet prices fluctuated by INR 100-1,000/t in many regions across the country.

Rebar (Fe 500) prices fell sharply by INR 200-2,100/t at different locations, following the sharpest correction of INR 2,100/t in the Delhi/NCR region.

Market participants based in the central and eastern regions are expecting that offers wouldn't fall further from here on in view of the input costs of standalone sponge iron and billet plants. They are optimistic in terms of price movements in the coming days.

Raw material

• Singhal Steel, Raigarh based manufacturer has offered 60-14 silico manganese at INR 94,000/t exw.
  
  

Semi finished

• Induction grade billet export offers fall to around $560/t exw Durgapur, equivalent to $585/t CPT Nepal.
  
  
• Raipur sponge P-DRI deals reported at around INR 28,900-29,200/t, while the later offers increased to around INR 29,500/t exw.
  
  
• Neo Metaliks in Durgapur has reduced steel grade pig iron offers by INR 200/t to INR 42,500/t exw, however demand continued weak, as per officials.
  
  
• BMM Ispat offered FeM 80 P-DRI lumps at INR 29,000/t exw Bellary & around 3,500 t deals reported in nearby region.
  
  
• Odisha based manufacturer, Ganesh sponge offered FeM 80 C-DRI mix at INR 30,500/t exw Angul.
  
  

Wire rod and structure

• Mid scale mills wire rod export offers stood at around $615/t exw Durgapur, equivalent to $640/t CPT Nepal.
  
  
• Trade reference wire rod prices in Raipur more or less stable at INR 45,400-45,700/t exw. Demand slightly improved, as per participants.
  
  
• Durgapur based wire rod sellers concluded around 700 t at INR 45,200-45,300/t on exw basisn however offersat 45,500/t.
  
  
• Raigarh based Singhal Steel concluded around 1,000 t deals of wire rod at INR 45,000/t exw.
  
  
• In Heavy structural steel, base price of 150 mm channel is decreased by INR 500/t to INR 50,000/t in Raipur with firm trade discount of INR 1,000-1,300/t. Trade reference price of 200 mm angle is at INR 51,600-52,000/t exw.
  
  

Click here for re-bar brand wise details