India Steel Market Watch
November 2: Prices of sponge iron declined further on low procurement by end-users, industry sources said, adding that the festive season of Dussehra and Durga Puja led to the general slowness in buying activity.
Current offers for sponge iron were quoted in a range of Rs 11,800 – 15,200 per ton.
Prices showed the steepest fall of Rs 600 per ton to Rs 11,800 per ton in Rourkela.
According to sources, the annual capacity of the sponge iron industry at present is 50 million tons but it is currently operating at only 30% of its total capacity, producing only 17-20 million tons due to lack of demand.
In April-September, 2015-16, sponge iron production fell 14.2% to 9 mt, down from 10.48 mt in the same period last year.
Following are sponge iron offers in domestic markets:
Market |
Prices as on 10.03.2015 |
Prices as on 10.10.2015 |
Prices as on 10.17.2015 |
Prices as on 10.23.2015 |
Prices as on 10.31.2015 |
Weekly change from 10.23.2015 |
Monthly Change from 10.03.2015 |
Sponge Iron |
|||||||
Mandi Govindgarh (Non-branded) |
|
|
|
|
|
N/A |
N/A |
Mandi Govindgarh (Branded) |
17400 |
17000 |
16600 |
16500 |
15200 |
-1300 |
-2200 |
Durgapur |
13700 |
14000 |
13800 |
13800 |
12800 |
-1000 |
-900 |
Raipur |
15100 |
14700 |
14300 |
13400 |
13000 |
-400 |
-2100 |
Rourkela |
13500 |
12700 |
12800 |
12400 |
11800 |
-600 |
-1700 |
Raigarh |
14000 |
14000 |
13600 |
12800 |
12300 |
-500 |
-1700 |
Hyderabad |
|
|
|
|
|
N/A |
N/A |
Orissa |
|
|
|
|
|
N/A |
N/A |
Nagpur |
|
|
|
|
|
N/A |
N/A |
Source: Traders