SteelMint: Raipur billet index climbs INR 1,100/t on active demand - 27 Jan

SteelMint's daily steel billet index is assessed at INR 48,200/tonne (t) (+1,100) exw Raipur on 27 Jan'22.

About 6,670 t of transactions in billets were recorded by SteelMint today against 5,650 t on 25 Jan.

The index rose further on active demand and optimistic trends following strengthening raw material prices.

In addition, the major factor behind the price was in central India was announced production cuts through the Raigarh based furnaces by about 50%, thus, this has influenced suppliers to keep prices higher.

Rationale -

This index has been derived based on transactions, offers, bids and indicative price data sets. Transactions are considered as T1 and given a weightage of 50% whereas other data sets are considered as T2 and given a weightage of the balance 50%.

• Transactions (T1) - Eight trades were recorded in the 2:30 pm to 5:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. Out of which three trades were recorded at INR 48,200/t, two deals each at INR 48,300/t, and INR 48,000/t, and one deal at INR 48,400/t. The average price of these eight transactions was INR 48,179/t and given a 50% weightage in the final price calculation. Apart from this one trade at INR 47,800/t was also recorded at 12:30 pm but was excluded due to timing.
  
  
• Other Price Indicators - bids/offers/indicative (T2) - Nine offers reported in the trading window and considered as T2 inputs. The average price of these nine was INR 48,180/t and given a 50% weightage in the final price calculation.
  
  

The final price for billet exw Raipur was at INR 48,180/t, rounded to INR 48,200/t exw.

Click for detailed methodology

T1 - Trade, T2 - Offer/Bid/Indicative, *Normalized price as per methodology