Indian DRI, billet and rebar update - 1 Jul

Spot trading activity in the Indian secondary steel market remained subdued on 1 July'21 as prices declined by up to INR 400/t ($5) d-o-d.

As per SteelMint assessment, semi-finished steel (sponge iron and billet) offers decreased by INR 100-400/t across markets in the country. However, billet prices in Mandi Gobindgarh (Punjab) rose by INR 100/t.

In addition, induction furnace grade rebar prices fell by INR 100-300/t in many locations in the country.

Sources said that trade may remain sluggish as there are rumours floating in the market that the primary mills could slash finished steel prices for Jul’21 deliveries. However, revised prices are yet to be announced.

Raw material

• Karnataka based BMM Ispat kept offers unchanged for raw pellets at INR 12,400-12,500/t exw Bellary.
  
  
• Jharsuguda based pellet maker sold around 7,000 t raw pellets to Central India at INR 15,000/t exw.
  
  

Semi finished

• Induction grade billet export offers drop by $10-15/t to $535-540/t exw Durgapur, equivalent to $565/t CPT Nepal, via road delivery. However, demand remains weak and few bids reported at around $530/t exw Durgapur.
  
  
• Sponge P-DRI prices in Raipur slightly dropped by INR 200/t & deals reported at around INR 29,200-29,300/t on exw & FoR basis.
  
  
• Jharsuguda, Odisha based sponge supplier offered FeM 79 P-DRI at around INR 29,500/t FoR Raipur.
  
  
• Ind Synergy offered P-DRI at INR 28,900/t & billet at INR 40,300/t exw Raigarh.
  
  
• Mahavir Ferro Alloys sold around 500 t sponge iron (mix material) at INR 30,000/t exw Rourkela.
  
  
• BMM Ispat offered FeM 80 P-DRI lumps at INR 27,100-27,200/t exw Bellary & around 2,500 t deals reported in nearby region
  
  

Rebar (12 mm)

• GK TMT(Fe 500D) is offering at INR 46,000/t exw Raipur (Down by INR 500/t).
  
  
• BS TMX offers reported at INR 43,300/t exw Raigarh (Down by INR 200/t).
  
  
• Metalics 550D TMT offers reported at INR 44,500/t exw Sambalpur (Down by INR 200/t).
  
  
• Rathi Stelmax TMT kept offers stable at INR 47,150/t exw Delhi/NCR.
  
  
• Swarup TMT is offering at INR 45,300/t exw Muzaffarnagar (Down by INR 200/t).
  
  
• Mono TMT is offering at INR 46,900/t FoR Ahmedabad (Down by INR 200/t).
  
  
• Gajkesari TMT offers reported at INR 45,500/t exw Jalna.
  
  

Wire rod and structure

• Mid scale mills wire rod export offers stable at around $590/t exw Durgapur, equivalent to $615-620/t CPT Nepal, via road delivery.
  
  
• Trade reference wire rod prices in Raipur dropped by INR 100/t to INR 44,700-44,800/t exw, due to increase in trade discounts. Also, prices in Durgapur fell by INR 300/t to INR 43,200-43,300/t exw.
  
  
• Heavy structural steel, base price of 150 mm channel stable at INR 45,500/t in Raipur with firm trade discount at INR 800-1,000/t. Trade reference price of 200 mm angle is at INR 47,400-47,800/t exw.
  
  

Reference prices as on 1st Jul'21