Indian Steel Market Update- 11 May'20

Indian steel prices drop significantly due to limited spot trades and as per daily assessment it fell by INR 100-800 (upto USD 11)/MT in major markets.

However in Gujarat the Rebar manufacturers have raised offers by around INR 600/MT due to shortage in sizes on lack of labors and active demand from the rural areas.

SteelMint's price assessment for induction furnaces billet in Indian market stood at INR 25,700-29,400/MT (USD 338-387) EXW.

Further, the coal-based sponge (78-80 FeM) C-DRI price assessment was at INR 15,100-16,700/MT (USD 198-220); prices are EXW & excluding GST.

Rupee & BSE Sensex

-- On 11th May 2020 (Monday) INR to USD exchange rate stood at INR 75.88.

-- ICEX (Indian Commodity Exchange Ltd) May'20 contract for STEELLONG today open at INR 29,200/MT & last traded (IST 18:09 hrs) at INR 29,210/MT.

-- BSE Sensex closed at 31,561(-81) on Monday, as against last day (Friday) at 31,642(+199).

-- NSE Nifty50 index was closed today at 9,239(-12) & Nifty Metal at 1,697(+21).

Raw Material

-- BMM Ispat located in Bellary, Karnataka sold around 10,000 MT pellets in nearby market at INR 6,200/MT EXW in last two days.

Semi Finished

-- Rashmi Metaliks has reduced sponge P-DRI price by INR 100-200/MT to INR 15,700/MT FoR Durgapur, as per sources.

-- Sponge manufacturers in Raipur have reduced P-DRI offers by INR 200/MT to INR 15,400-600/MT ex-plant, however no major deals due to competitive offers from Raigarh & Odisha at INR 15,400/MT FoR Raipur.

-- Raipur based manufacturers sold around 1,000 MT Billet at INR 27,700-800/MT FoR Jalna.

-- Billet deals reported at INR 26,300-26,400/MT FoR Raipur from Raigarh based manufacturers.

-- Durgapur based Neo Metaliks has maintained steel grade pig iron price firm at INR 23,500/MT ex-plant, due to limited availability of material, as per officials.

-- Bhaskar Steel and Ferro Alloy Ltd is offering Billet at INR 26,200/MT ex-plant.

-- Electrosteels has reported deals of steel grade pig iron at INR 22,800-23,000/MT ex-plant, Bokaro.

-- BMM Ispat, a renowned sponge manufacturer offered FeM 80 P-DRI lumps at INR 16,200-16,300/MT ex-Bellary & around 5,000 MT deals reported in nearby region.

Rebar (12 mm)

-- Bajrangbali Steel Industries Pvt Ltd in Odisha is offering at INR 32,200/MT EXW.

-- Raipur, Real Ispat (GK TMT) is offering at INR 35,000/MT EXW (down by INR 300/MT).

-- Mumbai, Guardian Castings Pvt. Ltd (Guardian TMT) has unchanged their offer at INR 34,300/MT EXW.

-- Jalna, Kalika Steels Alloys Pvt. Ltd. (Kalika TMT) is offering at INR 37,000/MT EXW.

-- Gujarat Mono Steel India Ltd. (Mono TMT) is offering at INR 34,200/ MT FoR.

-- Gujarat Vinayak TMT Bars Pvt. Ltd. offers at INR 34,500/MT FoR.

-- Chennai based ARS Steel (ARS 550 D) is offering at INR 39,000/MT EXW.

-- J.R. Metal Chennai Ltd. (JR TMT) is offering at INR 36,500/MT EXW.

Wire Rod & Pipe

-- Jharkhand (Bokaro) based a primary mill reduces price and reported Wire rod (5.5mm, SAE 1008) at INR 34,000-35,000/MT & Rebar (12mm, Fe 500D) at around INR 35,000-35,500/MT ex-plant.

-- Trade discounts in Raipur wire rod assessed at INR 600-800/MT and trade reference price drop by INR 400/MT to INR 29,400-600/MT ex-Raipur & by INR 200/MT to INR 30,600-800/MT ex-Durgapur.

-- ERW Pipe Manufacturers have decreased offers by INR 100-200/MT to INR 33,000/MT ex-Raipur, INR 35,800-35,900/MT ex-Mandi Gobindgarh & INR 33,400-33,500/MT ex-Rourkela.