IRON and STEEL
Indian Ferro Manganese prices raises for the first time in CY19. The prices have seen a long trend of decline until this week. Prices in Durgapur increased by INR 1000/MT and for Raipur the prices increased by INR 500/MT.
SteelMint learned from market sources that the rising Manganese Ore prices is one of the major reasons for increasing offer prices, as the supply demand dynamics are constant. Increased Ore prices have compelled the producers to raise their offers. Prices are however, likely to remain firm as there are very few producers of Ferro Manganese and most of them are already supplying to SAIL.
Ferro Manganese prices for Ex-Durgapur increased to INR 75,000/MT and Ex-Raipur increased to INR 74,000/MT. Export prices also increased by USD 10/MT for both HC70% and HC75%. Export quality HC70% is being offered at USD1040/MT and HC 75% is offered at USD 1120/MT.
Meanwhile, SteelMint assessed that the supply and demand is estimated to remain low but constant in the near future. And therefore, the future price movement is likely to depend entirely over the Manganese Ore price trend.
Inquiries for seaborne pellet cargoes from Chinese mills which remained subdued since almost a month’s time has observed some signs of improvement this week. Indian pellet export prices have fallen in recent deals concluded.
This week Indian HRC trade prices have remained range-bound amid sluggish trades in domestic market. Market participants are in a festive mood since Holi festival is around the corner which has led to dull sentiments in domestic market.
SteelMint learned from market participants that Indian HRC export prices to Nepal have remained stable in recent bookings concluded for April end shipments.
SteelMint learned in recent conversation with participants that imported scrap market in Pakistan has observed improved buying interest amid improving local market sentiments this week.
As per the recent update received, Indian HRC importers booked around 35,000 MT of HRC from Japan for April shipments via two deals concluded almost 10-days back.
As per the vessel line up data maintained by SteelMint, Indian iron ore export volumes have seen significant increase in Mar’19. Till 16 Mar Indian iron ore export volumes have been recorded at 0.48 MnT against 0.33 MnT in Feb’19.