Indian DRI, billet and rebar update - 18 May

Spot trades in the Indian secondary steel market continued to notice a downward trend today as well and prices have declined by upto INR 800/t ($11), d-o-d, basis.

As per the assessment, domestic semi-finished (including sponge iron & billet) offers have dropped by INR 100-800/t, however, a major fall of INR 700-800/t was registered in Central India (Raigarh & Raipur).

In line with this, the rebar market has also seen a downfall in prices by INR 100-700/t in many regions.

Sources stated that, with falling prices, the sellers have turned aggressive to liquidate stocks, this, in turn, a rigorous fall in prices despite higher raw material (Iron ore & Pellet) prices.

Semi Finished

• Induction grade billet export offers hovering at $590/t exw Durgapur, equivalent to $615/t CPT Nepal. The prices surge amidst strengthening rupee against the US dollar.
  
  
• Raipur based sponge P-DRI makers have further lower offers by INR 500-700/t to INR 30,500-30,700/t exw, however deals reported at around INR 30,300-30,400/t on exw & FoR basis.
  
  
• Neo Metaliks in Durgapur has reduced steel grade pig iron offer by INR 200/t to INR 39,800/t exw, however inquiries limited due to drop in billet prices, as per officials.
  
  
• Ind Synergy offered P-DRI at INR 30,000/t & billet at INR 42,500/t exw Raigarh.
  
  
• Jharkhand Ispat Pvt. Ltd. offered billet at INR 43,800/t and sponge iron FeM 78 C-DRI mix (60:40) at INR 31,000/t exw Ramgarh.
  
  
• BMM Ispat offered FeM 80 P-DRI lumps at INR 30,500/t exw Bellary.
  
  

Rebar (12 mm)

• Shrishtii TMT offers reported at INR 48,200/t exw Raigarh (Down by INR 400/t).
  
  
• Metalics 550D TMT offers reported at 48,700/t exw Sambalpur (Down by INR 800/t).
  
  
• Rathi Stelmax TMT offers stable at INR 50,600/t exw Delhi/NCR.
  
  
• Century TMT is offering at INR 49,700/t exw Muzaffarnagar (Down by INR 300/t).
  
  
• Mono TMT is offering at INR 51,900/t FoR Ahmedabad (Down by INR 300/t).
  
  
• Gajkesari TMT offer unchanged at INR 50,000/t exw Jalna.
  
  

Wire Rod

• Mid scale mills wire rod export offers stood at $660-665/t exw Durgapur, equivalent to $690/t CPT Nepal.
  
  
• Trade discounts in Raipur wire rod is reported at INR 2,000-2,500/t & base offers plunge by INR 1,000/t to INR 48,000/t exw. Also, prices in Durgapur went down by INR 300/t to INR 47,700-48,000/t exw.
  
  
• Raipur based heavy structure steel manufacturers, reduce the base price of 150 mm channel by INR 500/t to INR 48,500/t, and given trade discount at INR 1,200-1,500/t, current trade reference price of 200 mm angle is at INR 50,000-50,400/t exw.
  
  

Reference prices as on 18th May'21