Indian Sponge Iron Export Prices to Bangladesh Inch Down in Recent Bookings

Bangladesh, which is also the major buyer of Indian sponge iron remained active as over 10,000 MT fresh bookings were reported yesterday with marginal reduction in its price by USD 3/MT, as per SteelMint's weekly assessment.

-- A regular sponge iron exporter based in Kolkata, eastern India confirmed 3,000 MT sponge iron deals at an average price of USD 280/MT CPT Benapole, equivalent to USD 295/MT CFR Chittagong, Bangladesh.

-- While another big trading house in same place reported deals of about 8,000 MT in the range of USD 280-282/MT CPT Benapole.

Thus, with these deals, SteelMint's price assessment for this week stands at USD 280/MT CPT Benapole as against last week at USD 280-285/MT CPT Benapole, which is equivalent to USD 295-300/MT CFR Chittagong, Bangladesh.

Participants believe that due to limited stock of raw materials, Bangladeshi mills are taking position, however the local finished steel demand in Bangladesh is cited weak as confirmed by local trade participants.

Notably, recent a fresh bulk scrap vessel booking being confirmed another Bangladeshi mill just days after the conclusion of 2 US origin Bulk cargoes by a major Chittagong Steelmaker.

In the latest booking, one of the prominent mills in Chittagong has booked a bulk vessel from a USA (west Coast) for 32,000 MT mixed cargo comprises of Shredded scrap at USD 295/MT and HMS at USD 290/MT CFR Chittagong.