India: TATA Metaliks Increase Pig Iron Price by INR 500/MT (USD 7) for Nov'19

TATA Metaliks has raised basic (steel) grade pig iron price by INR 500/MT (USD 7), this week amid better demand.

The current offers by TATA Metaliks for Low Silicon (1-1.5%) pig iron reported at around INR 25,200/MT (USD 350), which was earlier trading at INR 24,700/MT; ex-plant. However the Foundry grade pig iron prices reported firm at around INR 29,000/MT (USD 407), ex-plant, Kharagpur, eastern India.

TATA Metaliks Limited (TML) which is known as largest Foundry grade pig iron manufacturer in eastern India, has earlier rolled-over prices for Nov'19. However with improved demand from consumers amid surge in steel & substitute product prices, the producer recent has raised prices for Low Silicon (steel grade) pig iron.

As per conversation with market participants, pig iron demand is quite better since substitute prices rally. As per assessment made by SteelMint, during Nov'19, imported scrap offers to India has surged by about USD 10/MT, following this, domestic scrap & sponge iron prices in India rose by around INR 1,000/MT (USD 14).

The private producers have raised steel grade pig iron price by around INR 1,000/MT in Nov'19 and currently offering at INR 23,000/MT ex-Jajpur(Odisha), INR 23,800/MT ex-Bokaro (Jharkhand) & INR 24,200-24,500/MT ex-Durgapur & INR 26,200-26,500/MT, excluding of 18% GST.