Ingot and billet prices fell by Rs4,000-4,500/mt ($55-61/mt) in last one week in major secondary steel markets across India. Steel mills expect market to continue to remain dull for the next couple of days.
The daily Davis Index for billet in Raipur dropped by Rs500/mt ($6.84/mt) at Rs36,800/mt ($505.4/mt) ex-works on Wednesday with very few deals. Billet sellers were forced to reduce offers but buyers still did not show interest amid bearish market sentiments. The continuous price dip is also due to sluggish finished steel demand.
Pellet Sponge prices are at Rs24,500/mt ($335.57/mt) ex-works Raipur, down by Rs500/mt ($6.84/mt) though with limited takers, while the index for rebar remained flat at Rs42,000/mt ($575.26/mt) ex-works Raipur.
In Mumbai, the daily index for billet dropped by Rs500/mt to settle at Rs38,400/mt ex-works amid significant drop in imported and local scrap prices this week. The index for rebar dropped by Rs800/mt ex-works. Steel mills in Mumbai shared that despite reducing rebar offers by around Rs2,000/mt in the last two days, demand is still moderate.
In Mandi Gobindgarh, the daily index for ingot fell by Rs600/mt to Rs36,800/mt, in line with decrease in local scrap prices along with lack of demand.