Daily Update: Indian Sponge & Billet Market

SteelMint also learned from the participants that, major Indian steel mills are planing to roll-over rebar prices for May'19 deliveries, however officials confirmation awaited for the same.

SteelMint's latest price assessment for induction furnaces billet in Indian market stood at INR 31,000-34,700/MT (USD 447-501) ex-plant.

Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 18,900-19,900/MT (USD 272-287); prices are ex-plant & excluding GST.

Rupee & BSE Sensex

-- On 2nd May 2019 (Thursday) INR to USD exchange rate stood at INR 69.34.

-- ICEX (Indian Commodity Exchange Ltd) May'19 contract for STEELLONG today open at INR 33,940/MT & last traded (IST 18:13) at INR 34,050/MT.

-- BSE Sensex closed at 38,981(-50) on Thursday, as against last day (Tuesday) at 39,031(-35).

-- NSE Nifty50 index was closed today at 11,724(-23).

Raw Materials

-- NMDC IRON ORE rake movement for exports from Chhattisgarh mines increased sharply in Apr'19; procurement by C.G. based units stable at 45 rakes.

-- State-owned pellet maker - Kudremukh Iron Ore Company Ltd (KIOCL) has signed a tripartite MoU with Emirates Steel, Abu Dhabi, and Star Global, Dubai for sale of high-grade pellets to Emirates Steel.

Semi Finished

-- TATA Metaliks Ltd, the largest foundry grade pig iron manufacturer in eastern India has kept prices unchanged for May'19. Offers for foundry pig iron reported at INR 32,500/MT & Low Silicon (1-1.5%) at INR 29,900/MT; ex-plant, Kharagpur.

-- SAIL (RSP) has received good response for today's 7,850 MT steel grade pig iron auction. As per sources, near to 5,000 MT (64%) material have been sold out at the base price of INR 27,450-27,500/MT ex-plant, Rourkela.

-- Neo Metaliks in Durgapur, has slightly reduced pig iron prices by INR 100/MT to INR 28,700/MT ex-plant. As per officials, response is not up to mark at prevailing prices.

-- SAIL has floated export tender for 16,200 MT Prime Mild Steel Non-Alloy Concast billets (150*150 mm) from Bhilai Steel plant The cargo will be shipped from Vizag port. Due date for bid submission is 16:00 hrs as per IST on 08 May’19.

-- Indian sponge iron export offers to Bangladesh remain unchanged with limited trade activities. The price assessment for lumps of grade FeM 78-80, recorded at USD 310/MT CPT Benpole (dry land port of Bangladesh & India) and USD 330/MT CNF Chittagong, Bangladesh.

-- Raipur, Central India based Integrated plants offering Sponge P-DRI at INR 19,000-19,200/MT & Sponge DR CLO grade at INR 20,800-21,000/MT ex-plant.

-- As per sources, Rashmi Metaliks in Durgapur has raised sponge prices by INR 100-200/MT to INR 18,100-18,200/MT (P-DRI).

-- Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 18,900/MT & Billet at INR 31,000/MT ex-plant.

-- East India, Odisha based manufacturer, Mahavir Ferro Alloys offered Billet at INR 31,000/MT ex-plant as per officials. Mostly deals concluded to Patna (Bihar) & local markets.

-- Apple Industries in Bellary (Karnataka) offered Sponge FeM 83+ P-DRI lump at INR 20,100/MT & Billet at INR 32,100/MT ex-plant. As per officials, billet deals are mostly concluded to Wada (Maharashtra) market at this prices. Freight cost via road to Wada at INR 1,300-1,400/MT.

-- BIOP Steels in South India has offered FeM 80 & 82 C-DRI lumps at INR 19,100/MT & 19,500/MT ex-plant, Karnataka; an official reported.

Wire Rod & Pipe

-- Trade discounts in Raipur Wire rod further reduced by INR 200/MT to INR 700-900/MT, meanwhile basic prices for 5.5 mm steady at INR 37,900/MT ex-plant. In Durgapur offers for same material is hovering at INR 36,800-37,500/MT ex-plant.

-- Raipur, Central India based ERW pipe manufacturers increased prices by INR 200-300/MT & offers reported at around INR 37,900-38,000/MT ex-plant & excluding GST.

-- Mandi Gobindgarh, North India based ERW pipe manufacturers offers reported at around INR 40,400/MT ex-plant & excluding GST.

Rebar (12 mm)

-- Rathi Steels based in North region is offering at around INR 38,500/MT (ex-Delhi).

-- Raipur based - SPEED TMT has unchanged their offers at INR 35,500/MT.

-- Real Ispat (GK TMT) is offering at INR 37,800/MT (up by INR 200/MT).

-- Gujarat based Shreeyam Power & Steel Industries Ltd. (National TMT) has unchanged their offers at INR 38,300/MT FoR.

-- Jalna based SRJ Peety Steels Pvt Ltd (Shree Om) has unchanged their offers at INR 37,200/MT.

-- Mumbai based Guardian Castings Pvt. Ltd. (Guardian TMT) is offering at INR 37,300/MT.

Note – Prices mentioned above are ex-work, excluding GST & changes are placed on day basis. Prices are subject to reconfirmation.