Indian DRI, billet & rebar update- 12th Aug

Indian steel market gained further support & prices have increased today. Sponge iron prices rallied by INR 200-600/t & billet prices by INR 100-1,000/t, d-o-d in all the regions.

In addition to it, rebar prices increased by INR 100-1,100/t with major hike of INR 1,100/t in Delhi & Hyderabad. The hike was also observed in melting (HMS) scrap in the price range of INR 100-500/t nationwide.

Industry sources believe that prices would either remain stable or may have chances to be strengthen further as shortage of raw materials & sponge iron is still being noticed in a few locations.

Raw Material

• BMM Ispat sold around 7,000 t pellets at INR 7,800/t exw & increased offers by INR 200/t to INR 8,000/t exw.
  
  

Semi Finished

• Indian induction grade billet export offers increased by $7-10/t d-o-d & stood at around $407-410/t ex-mill at Durgapur, equivalent to $435/t, CPT Raxaul border, Nepal.
  
  
• Raipur based sponge manufacturers have offered P-DRI at INR 20,600-20,800/t exw. However limited deals reported by few mid sized plants.
  
  
• Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI lumps at INR 20,900/t & billet at INR 30,400/t exw.
  
  
• Raigarh based smelters getting offers of 80 FeM C-DRI mix material from Odisha at INR 21,400/t FoR Raigarh.
  
  
• Chandrapur (Maharashtra) based manufacturers offered sponge P-DRI (FeM 80) at around INR 20,800/t exw.
  
  
• Durgapur based Neo Metaliks has further raised steel grade pig iron prices by INR 500/t to INR 29,000/t exw.
  
  
• BMM Ispat increase offers by INR 500/MT for FeM 80 P-DRI lumps to INR 20,000/t exw Bellary.
  
  

Rebars (12 mm)

• Rathi Stelmax TMT is offering at INR 36,500/t exw Delhi/NCR.
  
  
• GK TMT is offering at INR 36,000/t exw Raipur (Up by INR 200/t).
  
  
• Shrishti TMT is offering at INR 33,800/t exw Raigarh (Up by INR 200/t).
  
  
• Radhe TMT kept offers stable at INR 33,700/t exw Raigarh.
  
  
• Shubhlabh TMT offers reported at INR 34,300/t exw Rourkela.
  
  
• Polaad TMT unchanged their offers at INR 35,100/t exw Jalna.
  
  
• Diamond TMT is offering at INR 36,300/t FoR Ahmedabad (Up by INR 900/t).
  
  

Wire Rod & Pipe

• ERW Pipe manufacturers have increased offers by INR 400-600/t to INR 36,000/t exw Raipur, INR 38,600/t exw Mandi Gobindgarh & INR 35,700/t exw Rourkela.
  
  
• Trade discount in Raipur wire rod is hovering at INR 700-900/t and base price firm at INR 34,500/t exw. Also in Durgapur trade reference prices up by INR 500/t to INR 33,800-34,300/t exw.
  
  

Reference prices as on 12th Aug'20