Indian DRI, billet and rebar update - 28 Apr

Spot trades in Indian secondary steel market remained modest and the semi finished prices have fluctuated by INR 100-1,000/t today.

As per SteelMint's assessment, the domestic billet market has noticed a surge in prices by INR 300-1,000/t except in Western and Southern regions where offers have dropped marginally by INR 200-500/t, d-o-d. Meanwhile, sponge iron offers have fluctuated by INR 100-400/t in the major markets.

In addition to this, the rebar prices have increased by INR 200-600/t across many locations, while a fall in offers by INR 200-600/t was recorded in some parts of Western & Southern India.

The prices improved especially in Central & Eastern regions as participants turned optimistic for outlook due to falling inventories of finished products on curtailed productions. This resulted in a rebound in prices, backed by rise in prices in Punjab.

Raw Material

• Karnataka based BMM Ispat offered raw pellets at INR 12,100/t exw Bellary.
  
  

Semi Finished

• Induction grade billet export offers gain by $5-10/t to $560-565/t exw Durgapur, equivalent to $585-590/t CPT Nepal.
  
  
• Sponge P-DRI bids improved in Raipur & trades reported at INR 28,300-28,500/t on exw & FoR basis.
  
  
• Jharsuguda, Odisha based sponge supplier offered FeM 80 P-DRI at around INR 28,500/t FoR Raipur.
  
  
• Bhaskar Steel and Ferro Alloy Ltd has offered billet at INR 41,000/t exw Badtumkela.
  
  
• Odisha based Ganesh Metaliks has sold around 1,000 t billet in Patna (Bihar) market at INR 41,300/t exw, an official reported.
  
  
• Raigarh based steel manufacturers are offering pig iron at INR 39,000/t Exw.
  
  
• BMM Ispat offered FeM 80 P-DRI lumps at INR 28,000-28,200/t exw Bellary & around 2,000 t deals reported in nearby region.
  
  
• Jalna based billet makers have observed no buying inquiries consecutively on the third day due to lack of demand in finished steel along with competitive offers from other regions (Central India). So, the buyers hold purchases from the local spot market.
  
  

Rebar (12 mm)

• GK TMT is offering at INR 48,000/t exw Raipur (Down by INR 200/t).
  
  
• Century TMT offers reported at 47,300/t exw Muzaffarnagar (Up by INR 500/t).
  
  
• Tri Shakti TMT offers reported at 47,000/t exw Durgapur (Up by INR 500/t).
  
  
• Vibrant TMT is offering at INR 49,100/t FoR Ahmedabad (Down by INR 400/t).
  
  
• Kalika TMT offer unchanged at INR 50,200/t exw Jalna.
  
  
• ARS TMT(Fe 550 D) offer reported at INR 55,000/t exw Chennai.
  
  

Wire Rod and Structure

• Mid scale mills wire rod export offers rise by $5/t to $625/t exw Durgapur, equivalent to $650-655/t CPT Nepal.
  
  
• Trade discounts in Raipur wire rod slightly drop to INR 1,000-1,200/t, following which trade reference price up by INR 400/t to INR 45,000/t exw. Also, prices in Durgapur increased by INR 500/t to INR 46,000-46,200/t exw.
  
  
• Raipur based heavy structure steel manufacturers, kept stable the base price of 150 mm channel at INR 47,200/t, and given trade discount at INR 1,100-1,400/t, current trade reference price of 200 mm angle is at INR 48,600-49,000/t exw.
  
  

Reference prices as on 28th Apr'21