India's Neelachal Ispat Holds Pig Iron Sales Over Decent Bookings - Participants

Neelachal Ispat (NINL)- India's largest pig iron producer and exporter has temporarily suspended its pig iron sales, as per information received from market sources.

The reason stated by participants behind holding back from making new bookings is decent booking after the recent price reduction made on 5th Feb'19 by INR 500/MT (USD 7). The revised offers by NINL was floated for Steel grade at INR 26,400/MT (USD 372/MT) & Foundry (High silicon) grade is at INR 27,500/MT (USD 387/MT); ex-Cuttack, eastern India.

As per them, the major bookings have been made by the Central & Northern India based stockiests.

Following this, the private pig iron producers in Durgapur have also raised offers to INR 28,300-28,700/MT as against last deals reported INR 27,300-27,500/MT, ex-plant.

Also, the company (MMTC on behalf of NINL) has its 30,000 MT pig iron export tender due tomorrow and the company is expecting to get decent response.

NINL is the largest merchant producer of pig iron in India with an annual hot metal production capacity of about 1.1 MnT.

Vedanta's 25,000 MT pig iron export tender heard to have received highest bid at around USD 360/MT FOB India (for Bangladesh market), if it is true then export prices from India has gone up by USD 15/MT in last few weeks.

RINL has floated an export tender of 25,000 MT which is due on 13 Feb'19.