India Steel Market Watch
December 14: Sponge iron offers firmed up despite sporadic buying, as per information available with ISMW.
Current offers for sponge iron were quoted in a range of Rs 11,700 – 14,800 per ton.
Prices increased by Rs 500 in Mandi Govingarh to Rs 14,800 per ton, by Rs 700 in Durgapur to Rs 12,300 per ton and by Rs 300 per ton in Raipur. Prices were firm by Rs 700 per ton in Rourkela and Rs 500 per ton in Raigarh.
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 a mere 17-20 million tons due to lack of demand.
In April-October, 2015-16, sponge iron production fell 10.8% to 10.86 mt, down from 12.18 mt in the same period last year.
Following are sponge iron offers in the domestic markets:
Market |
Prices as on 11.14.2015 |
Prices as on 11.21.2015 |
Prices as on 11.28.2015 |
Prices as on 12.07.2015 |
Prices as on 12.12.2015 |
Weekly change from 12.07.2015 |
Monthly Change from 11.14.2015 |
Sponge Iron |
|||||||
Mandi Govindgarh (Non-branded) |
|
|
|
|
|
N/A |
N/A |
Mandi Govindgarh (Branded) |
15300 |
15000 |
14700 |
14300 |
14800 |
500 |
-500 |
Durgapur |
12600 |
12100 |
11400 |
11600 |
12300 |
700 |
-300 |
Raipur |
13500 |
13100 |
12500 |
12400 |
12700 |
300 |
-800 |
Rourkela |
12000 |
11800 |
11000 |
11000 |
11700 |
700 |
-300 |
Raigarh |
12700 |
12400 |
11500 |
11600 |
12100 |
500 |
-600 |
Hyderabad |
|
|
|
|
|
N/A |
N/A |
Orissa |
|
|
|
|
|
N/A |
N/A |
Nagpur |
|
|
|
|
|
N/A |
N/A |
Source: Traders