India: Vizag Steel May Cancel Pig Iron Export Tender Amid Low Participation

Rashtriya Ispat Nigam Limited (RINL) - a leading state-owned Pig iron producer and exporter had issued an export tender of 21,000 MT basic grade steel making Pig iron for any country other than Nepal.

The material put up for tender had specifications: Carbon: 3.5-4.8 %, Manganese: 0.50% max, Silicon: 1.5% max, Phosphorus: 0.18% max, Sulphur: 0.060% max.

This tender was due on 27 June’19 and bid validity is till 04 July'19. As per the delivery schedule, the last date of shipment shall be 31 July’19.

According to market sources report to SteelMint, the tender may get cancelled. As per sources the tender received limited participation from one company. Amid disparity between bids and expectations, company may cancel the tender.

Global pig iron market is expected to gain momentum after last week's price hike in global scrap offers. Last week's assessment for CIS origin pig iron stands at USD 330-335/MT, FoB Black Sea. On the other hand last domestic pig iron offers of Vizag Steel was at INR 29,100-29,200/MT (USD 422-424) (ex-Vizag, excluding GST). Amid high realization in domestic markets, company is likely to cancel the export tender.