Indian Pellet Export Market Turns Active in Recent Deals

According to market sources report to SteelMint, the Indian pellet export market turned active in recent deals reported primarily to China.

Brahmani River Pellets (BRPL) - an eastern India based pellet maker has concluded two export deals of around 60,000 MT each for regular grade pellets (Fe 64%, containing 2.7% alumina) to China recently for prompt Nov shipment. According to the sources, the deal has been concluded at around USD 102 and USD 102.4/MT, CFR China.

Another pellet maker from southern India- KIOCL also concluded a pellet export deal via tender for 50,000 MT pellets (Fe 64%, less than 2% Al) at around USD 95/MT, FoB India (equivalent to USD 107-108/MT, CFR China) as per sources.

As per data compiled by SteelHome consultancy, pellet inventory at major Chinese ports down to 7.2 MnT as on 30th Oct as compared to 7.5 MnT a week ago. Similarly, iron ore inventory at major Chinese ports also decreased to 131.65 MnT as on 30th Oct as compared to 134.1 MnT a week ago.

Spot pellet premium for Fe 65% grade pellets assessed at USD 22.1/MT, CFR China last week as against USD 23.6/MT, CFR China in the last assessment. Pellet premium has witnessed a down of around USD 1.5/MT in a week's time.

Fe 62% iron ore fines index fell yesterday by USD 2.3/MT to USD 82.7/MT, CFR China. Iron ore futures in China hit two weeks low yesterday.