India's RINL continues billet export drive amid weak domestic demand

• RINL prioritises billet exports over finished steel
  
  
• Middle East remains key destination for cargoes
  
  

India's state-owned Rashtriya Ispat Nigam Ltd (RINL) continued focusing on billet exports amid weak domestic demand for long steel products and mounting pressure on mill margins. BigMint learnt from market participants that the producer concluded a billet export tender for 30,000-60,000 t at around $477.5/t FOB east coast India, with Saudi Arabia and Oman understood to be the likely destinations.

Export focus intensifies

The latest deal follows a series of billet export tenders concluded by RINL in recent weeks, reflecting the company's increasing emphasis on semis exports. Market participants noted that sluggish domestic demand, particularly ahead of the monsoon season, has reduced the attractiveness of producing finished long products such as TMT bars and wire rods.

According to industry sources, RINL has increasingly shifted its sales strategy toward billet exports to improve cash flow generation and optimise operations amid challenging domestic market conditions. The Middle East has emerged as the primary destination for Indian billet exports, supported by comparatively better demand and export realisations.

Outlook

Market participants expect RINL to remain active in the billet export market in the near term as weak domestic long steel demand and seasonal monsoon-related slowdown continue to weigh on local sales opportunities.