Daily Update: Indian Sponge & Billet Market
...
Domestic Sponge & Billet offers further decline by INR 100-400/MT (upto USD 7) against last day trades. Inquiries minimal in current circumstances, the industry participants mentioned.
Central India - Raipur recorded sharp fall in prices around INR 300-400/MT, while in rest of major markets it decline by INR 100-200/MT.
On 21st Sept, SteelMint’s price assessment for induction furnaces billet size 125x125 mm are reported at INR 26,100-28,400/MT (USD 402-444). While, 78-80 FeM sponge C-DRI price assessment was at INR 16,900-17,800/MT (USD 260-274). All prices are ex-plant & excluding GST.
Today (Thursday, September 21, 2017) INR to USD exchange rate stood at INR 64.90 & BSE Sensex closed at 32,370(-30).
Key Updates
1. SCCL coal auction in Aug'17 received good response as 78% of the total offered coal quantity of 309,000 MT was sold. The average winning price of coal was INR 2673.63/MT against the average reserve price of INR 2547.82/MT.
2. CIL's monthly coal production has up by 3% M-o-M in Aug'17 & stood at 37.6 MnT against 36.64 MnT in Jul'17.
3. Private Pig iron manufacturers in Durgapur - East India further reduce steel grade prices by INR 300/MT to INR 24,000/MT; basic & excluding of GST.
4. Melting scrap prices in Maharashtra decline by INR 200/MT following slump in sponge market.
5. Sponge prices in Raipur - Central India slump in line with cheaper landed cost of out state material. According to sources, the landed cost of outstation sponge P-DRI around INR 16,100/MT FOR Raipur. Where as in local market it available at INR 16,000-16,200/MT ex-plant.
6. Jharsugda based Shyam Metaliks heard offers P-DRI at around INR 15,500/MT ex-plant.
7. BMM Ispat in South India has kept offers unaltered, offering FeM 80 P-DRI lumps at INR 16,900/MT ex-Bellary, Karnataka.
8. Some large manufacturers cut Re-bar prices by INR 500-700/MT. Current prices for 12-32 mm re-bar are at INR 33,500-34,500/MT ex-Mumbai & excluding 18% GST.
Reference prices as on 21 September 2017
| Particular/Delivery | Size, Grade, Origin | Prices | Min | Max | Change | 1W | 1M | |
| C-DRI | Ex-Durgapur | Mix, FeM 78%, +/-1 | 17,850 | 17,800 | 17,900 | + 50 | 17,350 | 17,800 |
| Ex-Rourkela | Mix, FeM 80%, +/-1 | 16,900 | 16,800 | 17,000 | - 250 | 17,200 | 17,600 | |
| Ex-Raipur | Mix, FeM 80%, +/-1 | 17,800 | 17,700 | 17,900 | 0 | 18,100 | 18,800 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 17,050 | 17,000 | 17,100 | 0 | 17,600 | 17,400 | |
| P-DRI | Ex-Durgapur | Lumps, FeM 78%, +/-1 | 16,950 | 16,900 | 17,000 | + 50 | 16,350 | 16,800 |
| Ex-Rourkela | Lumps, FeM 78%, +/-1 | 15,500 | 15,400 | 15,600 | - 250 | 15,900 | 16,800 | |
| Ex-Raipur | Lumps, FeM 80%, +/-1 | 16,100 | 16,000 | 16,200 | - 300 | 16,800 | 17,500 | |
| Ex-Bellary | Lumps, FeM 80%, +/-1 | 16,700 | 16,600 | 16,800 | 0 | 17,400 | 17,200 | |
| Ingot | Ex-Mandi Gobindgarh | 3.5 x 4.5 Inch, IS 2830 | 29,000 | 28,900 | 29,100 | - 200 | 28,450 | 29,150 |
| Ex-Durgapur | 3.5 x 4.5 Inch, IS 2830 | 26,400 | 26,300 | 26,500 | - 100 | 25,900 | 26,400 | |
| Ex-Rourkela | 3.5 x 4.5 Inch, IS 2830 | 25,800 | 25,700 | 25,900 | - 200 | 25,400 | 25,800 | |
| Ex-Raipur | 3.5 x 4.5 Inch, IS 2830 | 26,300 | 26,200 | 26,400 | - 350 | 26,400 | 26,300 | |
| Ex-Mumbai | 3.5 x 4.5 Inch, IS 2830 | 27,100 | 27,000 | 27,200 | + 200 | 27,200 | 27,700 | |
| Ex-Chennai | 3.5 x 4.5 Inch, IS 2830 | 27,750 | 27,700 | 27,800 | 0 | 27,750 | 28,750 | |
| Billet | Ex-Mandi Gobindgarh | 125x125 mm, IS 2831 | 29,400 | 29,300 | 29,500 | - 100 | 28,900 | 29,500 |
| Ex-Durgapur | 125x125 mm, IS 2831 | 26,850 | 26,800 | 26,900 | + 50 | 26,300 | 26,750 | |
| Ex-Rourkela | 125x125 mm, IS 2831 | 26,100 | 26,000 | 26,200 | - 200 | 25,800 | 26,300 | |
| Ex-Raipur | 125x125 mm, IS 2831 | 26,900 | 26,900 | 27,100 | - 350 | 26,800 | 26,700 | |
| Ex-Mumbai | 125x125 mm, IS 2831 | 27,500 | 27,400 | 27,500 | + 400 | 27,400 | 27,900 | |
| Ex-Chennai | 125x125 mm, IS 2831 | 28,000 | 27,800 | 28,200 | 0 | 28,000 | 29,250 | |
| TMT | Ex-Delhi/NCR | 12MM | 32,500 | 32,400 | 32,600 | 0 | 31,500 | 33,000 |
| Ex-Durgapur | 12MM | 29,600 | 29,500 | 29,700 | - 200 | 29,500 | 29,500 | |
| Ex-Raipur | 12MM | 29,700 | 29,600 | 29,800 | - 300 | 29,600 | 29,500 | |
| Ex-Mumbai | 12MM | 30,700 | 30,400 | 30,800 | 0 | 30,900 | 31,400 | |
| Ex-Chennai | 12MM | 32,000 | 31,900 | 32,100 | 0 | 32,250 | 33,000 |
Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research
