Indian Steel Prices Rise Further Despite Moderate Inquiries - 28 December

Secondary steel makers have strengthened their offers on account of optimistic trends. However, in terms of demand, it remained moderate today from the end user segments.

As per trade sources, demand has slowed down today as most of the buyers have booked sufficient volumes since the beginning of the week and are holding their bulk buying to clear the their stock.

Thus, there were no hurry positions from both – the suppliers’ and buyers’ end, leading to firm and slight rise in offers in different locations.

The suppliers in central India – Raipur have floated pellet-based DRI offers at around Rs 32,000-32,200/ton on an ex-plant and delivered basis, however, only a few deals reported on quoted offers.

Similarly, less participation was reported in semis and finished steel products on floated offers for billet at around Rs 46,500-46,700/ton and for wire rods at Rs 50,500-51,000/ton ex-plant or delivered basis in Raipur.

Also, the same trends were analyzed in eastern India, which is the major producing region of semis and finished steel products and supply largely in the local and neighboring states including exports.

Offers for pellet-based DRI were assessed at Rs 30,600-30,800/ton, billets at Rs 46,000/ton, and wire rods at Rs 50,300-50,500/ton ex-plant, Durgapur.

Whereas, sponge makers in Odisha have floated offers for lumps-based DRI at Rs 32,400-32,500/ton ex-plant and despite low demand, the producers are keeping prices higher as a few of plants (20-22) are expected to shut down for a month in Jan’22 as directed by the state government.

Also Read:- Indian Steel Market Remains Positive, Will The Trends Continue?