SteelMint: PELLEX remains stable on limited trades; buyers prefer lumps

SteelMint's bi-weekly domestic pellet index "PELLEX " continues to remain stable at INR 12,150/t, DAP Raipur. Only two of the Raipur based pellet makers are heard offering material in the domestic market, as others are booked for exports which will continue till Apr'21. Domestic demand for pellets remained low owing to increased iron ore usage by sponge makers.

However, as per the market sources, one deal for pellet was concluded for 3,000-4,000 t at INR 11,900/t (ex-plant) for the grade of Fe 62.5% was concluded recently by Raipur based player.

Major pellet makers from Jharsuguda & Raigarh are not offering in the market and have kept their sales closed. Single offer from Raigarh at INR 11,500/t in this publishing window.

Pellet sponge (P-DRI) prices in Raipur have come down today by INR 200/t to INR 27,400/t as against INR 27,200/t exw yesterday. On a weekly basis prices have remained stable.

Indian pellet market overview-:

Pellet makers in Odisha and other places have continued to keep their offers stable despite fewer demand in the domestic market. Barbil pellet offers stand at around 11,200-11,400/t (Loaded to wagon).

Rationale - PELLEX has been derived using data points: i.e., trades, offers and bid. You can download the detailed methodology by clicking on this link Click here

• One deal has been concluded in this publishing window therefore given a weightage of 50%.
  
  
• Total four firm offers from were reported this week and two from Raipur and the rest two from outside Raipur. All were taken for price calculation and given a weightage of 50%.
  
  

Region-wise pellet deals and offers: