Ingot, billet prices dropped in most Indian markets for the second day. Domestic rebar sales declined, pressuring raw material prices.
The daily Davis Index for billet in Raipur dropped by Rs700/mt ($9/mt) to Rs41,900/mt ($563/mt) ex-works on Tuesday, as sellers reduced offers amid limited buying interest.
Steel sales remain under pressure due to the ongoing monsoon season and could remain slow for the rest of June.
Offers for pellet sponge fell by Rs400/mt to Rs30,300/mt ($407/mt) ex-works in a silent market. The daily index for rebar fell by Rs300/mt ($3/mt) to Rs45,200/mt ($608/mt) ex-works Raipur on subdued sales.
In Mumbai, the daily index for billet remained unchanged at Rs43,000/mt ex-works, while the index for rebar was down by Rs200/mt to Rs46,300/mt ex-works. A few days ago, billet export deals were heard at $610/mt fob India.
In Mandi Gobindgarh, the daily index for ingot was down by Rs300/mt to Rs44,200/mt ex-works, in sync with the fall in local scrap prices.
In Durgapur, the bi-weekly index for billet declined by Rs500/mt to Rs41,500/mt following a fall in rebar prices. The bi-weekly index for rebar was down by Rs1,000/mt to Rs43,500/mt on Tuesday from last Thursday. Few mills informed that rebar sales have dipped by over 50pc in the last few days.
($1= Rs74.37)