Indian DRI, billet & rebar update- 16th Sep

The Indian steel market has seen an increase in prices today. Sponge iron prices increased by INR 100-200/t across many regions, following the same trend, billet prices have moved up by INR 50-300/t in most of the locations.

Also, a sharp hike was noticed of around INR 100-1,000/t in rebar prices, however, it has weakened in the southern region (Chennai).

The participants are expecting volatility in semis prices on account of fluctuating demand, falling production & limited conversion spread (margins) of standalone sponge & billet manufacturers.

Raw Material

• Silicon Manganese (60-14) offers in Raipur is assessed at around INR 60,500/t exw, however inquiries remained limited, as per manufacturers.
  
  

Semi Finished

• Induction grade billet export offers increased by $2/t to $412-414/t exw Durgapur, equivalent to $438-440/t CPT Nepal, via road delivery.
  
  
• Raipur based sponge manufacturers have further raised P-DRI offers by INR 200-300/t to INR 19,500-19,700/t, meanwhile no fresh deals learned due to healthy orders yesterday.
  
  
• Ind Synergy (Raigarh) offered P-DRI at INR 19,200/t & billet at INR 29,500/t exw.
  
  
• Neo Metaliks in Durgapur has reduced steel grade pig iron price by INR 500/t to INR 28,200-28,300/t exw.
  
  
• Visa Steels offered FeM 80 sponge C-DRI (mix material) at INR 20,000/t exw Jajpur. However no major sales reported by officials.
  
  
• Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered billet at INR 29,500/t exw.
  
  
• KJS Ahluwalia offered billet & Sponge mix material at INR 29,700/t & INR 20,200/t respectively exw Odisha.
  
  
• Hare Krishna has offered FeM 79-80 P-DRI at INR 18,800/t exw Bellary, an official reported.
  
  
• BMM Ispat offered FeM 80 P-DRI lumps at INR 18,600-18,700/t exw Bellary & around 4,000 t deals reported in nearby region.
  
  

Rebar (12 mm)

• GK TMT is offering at INR 35,000/t exw Raipur (Up by INR 400/t).
  
  
• Shrishtii TMT kept offers unchanged & reported at INR 33,100/t exw Raigarh.
  
  
• Rathi Stelmax TMT offers at INR 36,600 exw Delhi/NCR (Up by INR 500/t).
  
  
• Swarup TMT offers reported at INR 33,800 exw Muzaffarnagar (Up by INR 300/t).
  
  
• Mono TMT offers unchanged at INR 34,700 FoR Ahmedabad.
  
  
• Rajuri TMT is offering at INR 34,100 exw Jalna (Up by INR 300/t).
  
  

Wire Rod, Pipe & Structure

• Mid scale mills wire rod export offers gain by $5-7/ to $450-452/t exw Durgapur, equivalent to $475/t CPT Nepal.
  
  
• Trade discounts in Raipur wire rod up by INR 200-300/t to INR 1,000-1,200/t along with increase in base price by INR 400/t to INR 34,200/t exw. Also, in Durgapur trade reference price rose by INR 700/t to INR 33,300-33,500/t exw.
  
  
• ERW Pipe manufacturers have increased offers by INR 500-600/t to INR 35,200-35,300/t exw Raipur.
  
  
• Raipur based heavy structure manufacturers increase their offer by INR 300/t and maintained trade discount at INR 700 -1,000/t, trade reference price of 200 Angle stood at INR 36,300-36,700/t exw.
  
  

Reference prices as on 16th Sep'20