Monthly Archives: December 2019

PELLEX Up by INR 350/WMT in Recent Deals

PELLEX increased by INR 350/MT to INR 7,000/wmt (DAP Raipur) amid decent deals reported.Pellet deals for around 20,000 MT reported to Raipur and Durg sponge makers at INR 6,900-7,000/MT(Ex-plant); normalizing for freight to Raipur at INR 7,050-7,150/MT (DAP Raipur).

Raipur based pellet makers kept the offers stable at INR 7,000/MT( Explant); normalizing for freight to Raipur at INR 7,150/MT (DAP Raipur).

Raigarh based pellet makers also kept the offers stable at INR 6,500-6,600/MT (EXW). Pellet offers from Jharsuguda stand at INR 6,600/MT(EXW).

SteelMint P-DRI Assessment (Dec 31, 2019) increased by INR 400/MT W-o-W
to INR 19,200/MT as against INR 18,800/MT (Ex-Raipur) a week before.

India Pellet trade log-:

 Pellet deals for around 20,000 MT reported to Raipur and Durg sponge makers at INR 6,900-7,000/MT (Ex-plant); normalizing for freight to Raipur at INR 7,050-7,150/MT (DAP Raipur).

— Raigarh based pellet makers have sold around 15,000 MT pellet deals at INR 6,500/MT (EXW) a couple of days back.

— Bellary based pellet maker has sold around 5,000MT high-grade pellets (Fe 65%) pellets at INR 8,000/MT (EXW) today to Andhra Pradesh (A.P) based Steelmaker. Another Pellet maker from Bellary sold 5,000 MT pellets for Fe 63% grade pellet at INR 6,900/MT a couple of days back.

— As per the sources, Jamshedpur based pellet maker has concluded around 10,000 MT pellet deal two days back at INR 6,500/MT (EXW). However, Current offers for Jamshedpur increased by INR 100/MT to INR 6,600/MT (EXW).

Jharsuguda based pellet maker has concluded 5,000 MT pellets at INR 6,500/MT (EXW) this week. Current offers from Jharsuguda based pellet maker at INR 6,600/MT (EXW).

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Indian Domestic Pellet Prices Up in Recent Trades

Towards the year closing, the Indian domestic pellet market has witnessed deals getting concluded at increased offers. Southern India (Bellary) based pellet makers have increased pellet offers by INR 700-800/MT W-o-W. SteelMint’s current assessment for pellets (Fe 63%) stand at INR 7,000-7,300/MT (Ex-Bellary) against last week’s assessment at INR 6,450/MT. Bellary pellet prices are hovering at 6-months high as these levels were last seen in Jun’19.

Raipur pellet market has also observed deals of around 20,000 MT quantity this week at increased offers. Market sentiments remained positive as today Odisha’s Essel Mining has increased iron ore lump offers by INR 400-450/MT and fines by INR 150/MT w.e.f tomorrow.

India Pellet trade log-:

Pellet deals for around 20,000 MT reported to Raipur and Durg sponge makers at INR 6,900-7,000/MT (Ex-plant); normalizing for freight to Raipur at INR 7,050-7,150/MT (DAP Raipur).

— Raigarh based pellet makers have sold around 15,000 MT pellet deals at INR 6,500/MT (EXW) a couple of days back.

— Bellary based pellet maker has sold around 5,000MT high-grade pellets (Fe 65%) pellets at INR 8,000/MT (EXW) today to Andhra Pradesh (A.P) based Steelmaker. Another Pellet maker from Bellary sold 5,000 MT pellets for Fe 63% grade pellet at INR 6,900/MT a couple of days back.

— As per the sources, Jamshedpur based pellet maker has concluded around 10,000 MT pellet deal two days back at INR 6,500/MT (EXW). However, Current offers for Jamshedpur increased by INR 100/MT to INR 6,600/MT (EXW).

Jharsuguda based pellet maker has concluded 5,000 MT pellets at INR 6,500/MT (EXW) this week. Current offers from Jharsuguda based pellet maker at INR 6,600/MT (EXW).

SteelMint pellet reference prices as on 31st Dec’19

City Grade (Fe %) Basic Prices in INR/MT 
 Durgapur 63 6700-6,800
 Barbil* 63 6,000-6,200
 Jamshedpur 63 6,500-6,600
 Raigarh 63 6,500-6,600
 Bellary 63 7,000-7,300
 Jajpur 63 6,500
 Kandla** 63 8,350

* Loaded to wagon
Prices (GST extra) mentioned for min 1000 MT qty booking on advance payment basis
Source: SteelMint Research


Daily Update: Indian Steel Market 31 Dec’19

Indian mid sized mills have further raised prices on active trade activities and as per assessment the prices rallied by INR 100-500/MT in major region.

SteelMint’s latest price assessment for induction furnaces billet in Indian market stood at INR 29,100-32,900/MT (USD 408-461) ex-plant.

Further, the coal based sponge (78-80 FeM) C-DRI price assessment was at INR 19,200-20,200/MT (USD 269-283); prices are ex-plant & excluding GST.

Rupee & BSE Sensex

— On 31st December 2019 (Tuesday) INR to USD exchange rate stood at INR 71.33.

— ICEX (Indian Commodity Exchange Ltd) Feb’20 contract for STEELLONG today open at INR 31,380/MT & last traded (IST 18:06 hrs) at INR 31,800/MT.

— BSE Sensex closed at 41,253(-304) on Tuesday, as against last day (Monday) at 41,558(-17).

— NSE Nifty50 index was closed today at 12,260(+14) & Nifty Metal at 2,793(+33).

Raw Material

— Melting scrap offers in Western India- Jalna (Maharashtra) incline by INR 200/MT in a day trade activities.

Semi Finished

— Indian sponge iron (80 FeM, 100% lumps) export offers to Bangladesh rise &  stood at around USD 300/MT CPT Benapole, equivalent to USD 310-315/MT CFR Chhittagong, Bangladesh.

— Rashmi Metaliks in Durgapur has slightly raise Sponge P-DRI prices at INR 19,200/MT, as per sources.

— Neo Metaliks in Durgapur has reported steel grade pig iron deals at around INR 27,000/MT ex-plant, unchanged as against last day.

— The sponge manufacturers in Raipur have kept sponge P-DRI prices firm at INR 19,200/MT and few deals have reported in local market.

— Central India, Raigarh based sponge manufacturers has concluded few deals of P-DRI sponge at INR 19,200/MT FoR Raipur.

— Bhaskar Steel and Ferro Alloy Ltd, an Odisha based plant offered FeM 80 C-DRI at INR 19,200/MT & Billet at INR 29,000/MT ex-plant; an official reported.

— BMM Ispat, a renowned sponge manufacturer offered FeM 80 P-DRI lumps at INR 19,200/MT ex-Bellary, an official reported.

— BIOP Steels in South India has offered sponge C-DRI FeM 80 & 82 C-DRI lumps at INR 19,200/MT & INR 19,700/MT ex-plant, Karnataka; an official reported.

Rebar (12 mm)

— Rathi Steels based in North region has unchanged their offer at INR 36,400/MT.

— Muzzaffarnagar based Swarup Rolling Mills Limited (Swarup TMT) is offering at INR 34,200/MT(up by INR 200/MT).

— Raipur based Real Ispat (GK TMT) is offering at INR 35,400/MT.

— Jalna based Rajuri Steel Pvt. Ltd. (Rajuri TMT) is offering at INR 36,100/MT (up by INR 400/MT).

— Jalna based Gajkesari Steels And Alloys Pvt. Ltd. (Gajkesari TMT) is current offering at INR 35,800/MT.

— Gujarat based, Mono Steel (India) Ltd.(Mono TMT) is offering at INR 37,700/MT.

Wire Rod & Pipe

— Trade discount in Raipur wire rod reported at INR 800-1,000/MT along with steady base price at INR 34,600/MT ex-plant. However in Durgapur trade reference prices up further by INR 200/MT to INR 34,200-34,500/MT ex-Durgapur.

— APL Apollo Tubes Ltd, has increased ERW Pipe price by INR 1,000/MT to INR 40,500/MT (USD 568); ex-plant in central India, Chhattisgarh for January 2020.

— ERW Pipe Manufacturers have kept offers unchanged to INR 34,500/MT ex-Raipur & INR 36,800/MT ex-Mandi Gobindgarh.

Reference prices as on 31st December 2019

Particular/Delivery Size, Grade, Origin Prices Min Max Change 1W 1M
Scrap Ex-Alang HMS(80:20) 23,500 23,400 23,600 – 100 23,200 22,000
Ex-Mumbai HMS(80:20) 22,700 22,600 22,900   0 22,200 21,200
Ex-Chennai HMS(80:20) 22,800 22,600 23,000   0 22,100 20,700
C-DRI Ex-Durgapur Mix, FeM 78%, +/-1 20,150 20,100 20,200 + 50 19,200 18,150
Ex-Rourkela Mix, FeM 80%, +/-1 19,400 19,300 19,500 + 300 18,200 16,600
Ex-Raipur Mix, FeM 80%, +/-1 20,100 20,000 20,200   0 19,700 17,600
Ex-Bellary Lumps, FeM 80%, +/-1 19,200 19,100 19,300 + 200 18,400 16,800
P-DRI Ex-Durgapur Lumps, FeM 78%, +/-1 19,200 19,100 19,300 + 50 18,200 17,100
Ex-Raipur Lumps, FeM 80%, +/-1 19,200 19,100 19,300   0 18,800 16,600
Ex-Bellary Lumps, FeM 80%, +/-1 19,100 19,000 19,200 + 100 18,200 16,700
Ex-Hyderabad Lumps, FeM 80%, +/-1 19,600 19,500 19,700 + 100 18,600 17,250
Ingot Ex-Mandi Gobindgarh 3.5 x 4.5 Inch, IS 2830 32,300 32,200 32,400 + 450 30,600 29,000
Ex-Durgapur 3.5 x 4.5 Inch, IS 2830 29,700 29,600 29,800 + 200 27,700 26,800
Ex-Rourkela 3.5 x 4.5 Inch, IS 2830 28,700 28,600 28,800 + 200 27,400 25,500
Ex-Raipur 3.5 x 4.5 Inch, IS 2830 29,300 29,200 29,400 + 200 28,300 26,000
Ex-Mumbai 3.5 x 4.5 Inch, IS 2830 31,900 31,800 32,000   0 30,600 28,000
Billet Ex-Mandi Gobindgarh 100×100 mm, IS 2831 32,850 32,800 32,900 + 350 30,900 29,400
Ex-Durgapur 100×100 mm, IS 2831 30,000 29,900 30,100 + 200 28,200 27,100
Ex-Rourkela 100×100 mm, IS 2831 29,100 29,000 29,200   0 27,900 25,800
Ex-Raipur 100×100 mm, IS 2831 29,750 29,700 29,800 + 200 28,800 26,300
Ex-Ahmedabad 100×100 mm, IS 2831 32,700 32,600 32,800   0 32,100 28,850
Ex-Mumbai 100×100 mm, IS 2831 32,200 32,100 32,300 – 100 30,800 28,300
Ex-Chennai 100×100 mm, IS 2831 31,800 31,700 31,900   0 30,700 28,500
Ex-Hyderabad 100×100 mm, IS 2831 31,000 30,900 31,100   0 29,800 28,000
TMT Ex-Delhi/NCR 12-25 MM, IS 1786- 500 Fe 35,300 35,100 35,500 + 200 33,500 32,000
Ex-Durgapur 12-25 MM, IS 1786- 500 Fe 34,000 33,800 34,200 + 200 32,200 31,200
Ex-Rourkela 12-25 MM, IS 1786- 500 Fe 33,600 33,500 33,700   0 32,200 30,000
Ex-Raipur 12-25 MM, IS 1786- 500 Fe 32,800 32,700 33,000   0 32,000 29,500
Ex-Jalna 12-25 MM, IS 1786- 500 Fe 35,900 35,800 36,100 + 300 34,100 31,200
Ex-Mumbai 12-25 MM, IS 1786- 500 Fe 35,500 35,300 35,700 + 300 34,000 31,700
Ex-Chennai 12-25 MM, IS 1786- 500 Fe 35,000 34,800 35,200 + 200 34,200 32,100
Ex-Hyderabad 12-25 MM, IS 1786- 500 Fe 34,700 34,600 34,800 + 300 33,200 31,500
Wire Rod Ex-Durgapur Wire Rod(5.5 MM) 34,300 34,200 34,500 + 200 32,200 31,000
Ex-Raipur Wire Rod(5.5 MM) 33,800 33,600 34,600   0 32,900 30,400

Basic prices in INR/MT & excluding of GST @ 18%
Source: SteelMint Research


Imported Scrap Offers to Pakistan Remain Stable; Limited Trades Reported

Imported scrap trades to Pakistan remained slow for another week with buyers staying away from actively procuring on sufficient bookings for Jan’20 shipments. Offers to Pakistan remained mostly stable in comparison to last week, with only few suppliers offering presently as most European yards remain closed for winter vacation.

SteelMint’s assessment for containerized shredded 211 scraps from UK/Europe remains range-bound between USD 313-315/MT, CFR Qasim, more-or-less stable against last week’s report.

Few bookings for shredded were witnessed at USD 310-311/MT CFR this week, however not many inquiries were reported in the Trade sources shared that fresh offers will be witnessed only from 2nd week of Jan’20 onwards once major markets resume trades again after vacations.

HMS 1 super offers from UAE witnessed an increase by up to USD 10-15/MT and currently standing at around USD 300/MT CFR Qasim, with few deals being concluded at these levels.

Domestic steel market is witnessing an year end closing today and most mills as well as retailers have closed their sales today, with fresh offers for billet and finished steel likely to be announced in the coming days. Sources expect market direction to be clear in coming days after holidays.


Global HRC & CRC Market Overview

Global HRC, CRC market continues to observe hike in export offers from countries like China, India. Following this import prices to Vietnam also witnessed increase.

Indian steel mills further raise HRC export offers to Vietnam- The prominent Indian steel mills have further raised their HRC export offers to Vietnam by USD 10-15/MT this week following uptrend in Chinese prices.

Currently Indian origin HRC export offer stands at USD 510-520/MT CFR Ho Chi Minh for Feb’20 deliveries, which was USD 500/MT a week ago.

Meanwhile a deal of around 15,000 MT of HRC have been booked at around USD 510-515/MT CFR basis for Feb shipments, but couldnt confirmed while reporting this article.

Also with the announcement of hike in domestic HRC prices in Jan’20 Indian HRC offers may move up further in the upcoming month.

Chinese HRC export offers move up further- This week, the Chinese HRC export offers increased further by USD 5-10/MT owing to bullish sentiments in the domestic market.

Thus, current HRC export offers from Chinese mills stand at USD 490-500/MT FoB China as compared with USD 485-490/MT FoB basis in the previous week.

Meanwhile, domestic HRC prices widened upward by RMB 10/MT on a day-on-day premise to RMB 3,900-3,910/MT (Eastern China) with the supply shortage amid production curbs and logistical restraints.

Sources based in China shared that buying remains good both in domestic and overseas market. Meanwhile competitive HRC export to Vietnam boost trading in export market.

Imported HRC offers to Vietnam continue to increase – This week imported HRC offers move up further by around USD 10-15/MT owing to increase in offers from major exporting nations

Also Vietnamese integrated steel maker Formosa Ha Tinh in on 20 days long maintenance shut down at the hot strip mill till 17th Jan’20.This may result in short supply and in turn may boost HRC offers from China and India.

Current HRC export offers to Vietnam
1. HRC (SAE 1006) 2mm, China – Chinese steel mills offers stood at USD 510/MT CFR. Last week’s offers were at USD 500/MT CFR basis.

2.Last week Chinese mill concluded an export deal of 30,000 MT HRC to Vietnam at USD 510/MT CFR Ho Chi Minh for Feb deliveries.

3.HRC (SAE 1006) 2mm, South Korea- Hyundai Steel offers remain consistent at USD 500/MT CFR basis.

4.HRC (SAE 1006) 2mm, Japan- Nippon Steel offer stood at USD 500/MT CFR basis.

5.HRC (SAE 1006) 2mm, Brazil – Arcelor Mittal offer stood at USD 500/MT CFR basis.

Particulars Currency Prices
HRC, FoB China USD/MT 490-500
CRC, FoB China USD/MT 525-530
HRC, FoB Black Sea USD/MT 460-475
CRC, FoB Black Sea USD/MT 510-525
HRC, CFR Vietnam from China USD/MT 510
HRC, CFR Vietnam from India USD/MT 510-520

Source – SteelMint Research


Indian Finish Long Steel Imports Surge in Nov’19

Indian finish long steel imports increased by 79% M-o-M in Nov’19, as per the customs data maintained with SteelMint.

Finish long steel import registered at 31,693 MT in Nov’19, which is up by 79% as against 17,700 MT in Oct’19. On yearly basis imports surged by 45.54% in Nov’19 as against 21,776 MT in Nov’18.

As per customs data maintained with SteelMint, the major importer of finish long steel was TATA Steel with 16,535 MT (52.17%), out of 31,693 MT in Nov’19.

Under finish long steel commodities following HS codes has been considered – Bar & Rod (HS Code 7213 & 7214), MS Wire (HS Code 7217) along with Angle & Shapes (HS Code 7215 & 7216).

Commodity wise- Rebar imported by India stands at 20,421 MT in Nov’19 enlarged by 288% M-o-M as against 5,267 MT in Oct’19 followed by Wire Rod 7,418 MT in Nov’19 (-24.45%) as against 9,819 MT in Oct’19 & Structure (Angle/Channel) import was 3,855 MT in Nov’19 surged by 47.53% as compared to 2,613 MT in Oct’19.

Country wise- Singapore stood as top exporter of finished long steel to India and on a monthly basis exports registered at 16,535 MT in Nov’19, which was negligible in previous month followed by China 3,949 MT in Nov’19 (-7.8%) as against 4,283 MT in Oct’19 and South Korea 3,552 MT in Nov’19 (-15.5%) as against 4,203 MT in Oct’19.

Unload Port wise- South India’s Kattupalli port is registered at 11,361 MT in Nov’19 enlarged by 435% as against 2,122 MT in Oct’19 followed by JNPT Port with 6,524 MT in Nov’19, up by 31.7% as compared to 4,951 MT in Oct’19 and Paradeep port registered at 6,023 MT in Nov’19.

Sector-wise Coal Receipients in SECL's Auction

SECL’s Spot Coal Auction Fetches 63% Premium in Dec’19

South Eastern Coalfields Ltd (SECL), the largest coal producing subsidiary of CIL, has received an overwhelming response for coal sales seen in its recent spot auction held during Dec’19.

The coal company has reported sale of entire volume in the auction held on 18 Dec’19, wherein 1,012,000 MT coal was put forward for sale.

SECL had floated the entire coal volume pertaining to grades G5, G6, G7, G8, G9, and whole specifications ranging from G11 to G16, across its 14 mining areas. Incidentally, the entire sales were noted at an average bid price of INR 1972.41/MT which was received against the assessed reserve price of INR 1207.88/MT, thus fetching a premium of 63% in the auction.

The company had proposed more coal volume this term, which was probably incited due to a superior coal production reported in the month of Nov’19. Apparently, volume offered for Dec’19 auction was nearly 30% higher than that were put forward in the auction held on Nov’19.

Grade Source Size Reserve Price Avg Bid Price Gain on Reserve Price Quantity
G5 NCPH Seam II 250 mm 3285 3843.75 17% 10,000
G5 Rajgamar 4 and 5 OC 250 mm 3285 4214.40 28% 5,000
G6 Sharda OCM 100 mm 3029 3670.00 21% 10,000
G7 Mahan II OCM 100 mm 2774 3886.19 40% 40,000
G7 Khairaha UG 100 mm 2774 3343.75 21% 30,000
G8 Mahan OCM 250 mm 2109 3172.00 50% 5,000
G8 Amlai OC 250 mm 2109 3630.64 72% 50,000
G8 Rajendra UG 250 mm 2109 3579.00 70% 3,000
G9 Piparia 250 mm 1642 2750.00 67% 10,000
G11 Dipka OC 250 mm 1374 3009.89 119% 100,000
G12 Gare Palema IV/2 and 3 250 mm 1276 1997.47 57% 51,000
G13 Balrampur UG 250 mm 1176 1458.20 24% 10,000
G13 Manikpur OC 250 mm 1176 2710.59 130% 100,000
G14 Gare Palema IV/2 and 3 250 mm 1077 1358.16 26% 76,000
G15 Bijari OC 100 mm 850 1316.22 55% 200,000
G16 Gare Palema IV/2 and 3 250 mm 725 1133.08 56% 312,000
Total 1207.88 1972.41 63% 1,012,000

Source: CoalMint Research | Price in INR/MT | Quantity in MT

Bids in the range of INR 270-1930/MT were fetched in excess of reserve price across various coal grades, which were seen comparatively lesser for the lower grades of coal (G14, G15 and G16) being offered in the auction.

Highest premium was witnessed for G13 grade of coal offered from Manikpur OC, wherein average bid price of INR 2710.59/MT against reserve price of INR 1176/MT was received for sale of 100,000 MT coal. In contrast, the same grade of coal offered from Balrampur UG was sold at an average bid price of INR 1458.2/MT, at a premium of 24% over the reserve price.

Whereas, highest bid price of INR 4225/MT was received for the G5 grade of coal offered from Rajgamar UG coal mine.

Major Coal Receivers:

Traders had procured the largest coal in the auction, acquiring nearly 54% of the total volume offered in Dec’19.

Power utilities with 362,550 MT were the second-largest coal recipients followed by Sponge Iron and captive power producers.


Imported Ship Breaking Offers to India Rise; Trades Remain Limited

The scrapped ship prices in Indian market surged by USD 10/LT, as per GMS report. This hike remain supported by hike in Indian domestic ship breaking prices by INR 1,000-1,500/MT (USD 14-21).

However on rising imported ship breaking offers to India, there are no such major deals, meanwhile small deals were seen taking place.

Further, the offers in other markets of South Asia like Bangladesh & Pakistan remained flat as several units already in cash buyer hands were fixed at some impressive numbers (in tonnage) over the last couple of weeks.

The Indian market observed positivity with HKC requirements and the ship breaking prices rose by USD 10/LT W-o-W with fresh offers of around USD 390/LT for Containers, USD 360/LT for Dry bulk and USD 380/LT for Tanker. Inline Indian Rupee fluctuated and traded nearly INR 71.50 against the US Dollar.

Furthermore sales activities remained subdued over little demand. Hence, the imported ship breaking prices to Bangladesh being unchanged and stands at USD 385/LT for containers, USD 365/LT for Dry Bulk & USD 375/LT for Tankers.

Meanwhile, Pakistan market is emerging back & coming in the picture with increased inquiries from last couple of weeks from Gadani recyclers. The prices for containers reached at USD 375/LT, dry Bulk at USD 355/LT & Tankers at USD 365/LT.


India: APL Apollo Increases Pipe Price by INR 1,000/MT for Jan’20

APL Apollo Tubes Ltd – one of the largest ERW pipes manufacturers in India has increased price by INR 1,000/MT (USD 14) for Jan’2020 deliveries.

The company’s offer for Jan’20 are floated at around INR 40,500/MT (USD 568), which was hovering at INR 39,500/MT in Dec’19. Prices mentioned are on ex-plant basis in Chhattisgarh, central India .

As per officials, the prices hike further on account of constant surge in domestic flat steel prices, which last week increased by INR 500-1,000/MT in traders market followed by decent export bookings at increased offers. Indian mills have recently raised HRC export offers to Vietnam by USD 10-15/MT for Feb shipments.

Further SteelMint analysed that, with rising production the company has achieved growth in sales volume by 22% to 3.63 lakh tons during the Q2 FY20 as against 3.04 lakh tons in Q2 FY19. Also net profit after tax rose to INR 55 crore in Q2 FY20 compared to INR 27 crore in Q2 FY19.

APL Apollo Tubes Limited is the largest producer of Electric Resistance Welded (ERW) Steel Pipes and Sections in India, with a capacity to produce 2.5 MnT pa. The company has vast distribution network is spread across India, with warehouses and branch offices in 29 cities.

As per assessment, the prices through the secondary ERW pipe mills being on higher side and recorded hike of INR 2,500-4,000/MT in a month duration with fresh offers at INR 34,500-34,600/MT ex-Raipur (Chhattisgarh), INR 36,800/MT ex-Mandi Gobindgarh & INR 34,500-34,700/MT ex-Rourkela (Odisha), excluding of 18% GST.


Bangladesh Mills Hold Back Sponge Iron Bookings on Rising Offers

The major steel mills in Bangladesh seem to be in wait & watch mode as there is no fresh bookings for Indian sponge iron exports.

The export demand for Indian sponge iron has weakened with the recent hike in price range. In a week’s time, sponge iron export offers increased further by USD 5-10/MT on account of increased prices in Indian domestic market by INR 500-1,000/MT (USD 7-14).

The current export offers to Bangladesh for sponge C-DRI (80 FeM, 100% lumps) reported at near to USD 300/MT, which was last week hovering at USD 290-295/MT CPT Benapole (dry port of India & Bangladesh).

SteelMint learned that the last deals were taking place at the price range of USD 280-285/MT CPT. However, after that major buyers remained away from taking positions on account of constant price rally. On an average about 10,000 MT, deals were reported 7-10 days ago at near to USD 280-285/MT CPT, equivalent to USD 295-300/MT CFR Chittagong, Bangladesh.

It was also cited that the local steel demand in Bangladesh is not up to the mark, which is directly affecting the profit margins of local re-rollers. Thus, on rising raw materials, they are cautious to book material looking at low conversions along with sufficient stock in hand.

Also, imported scrap offers to Bangladesh remained strong and marked at around USD 322-325/MT, CFR Chittagong, for shredded grade. In the beginning of last week, a major steelmaker from Chittagong had booked a USA origin bulk cargo comprising entirely of shredded scrap at USD 325/MT, CFR Chittagong for Feb’20 shipment.