Ingot and billet prices declined on Monday from Friday following a fall in rebar prices along with moderate demand.
The daily Davis Index for billet in Raipur fell by Rs1,000/mt ($13.67/mt) to Rs33,800/mt ($462.19/mt) ex-works on Monday from Friday following a fall in rebar and Sponge iron prices. The daily index for rebar fell by Rs900/mt ($12.3/mt) to settle at Rs39,000/mt ($533.29/mt) ex-works due to sluggish demand. Pellet Sponge traded at Rs23,000/mt ($314.5/mt) ex-works Raipur in limited quantities.
International iron ore prices have climbed from $80/mt in April 2020 to $173/mt on Jan 21, touching a nine-year high before softening to its current level of $155-156/mt.
In Mumbai, the daily index for billet declined by Rs600/mt to Rs35,600/mt ex-works with limited trade activity. The index for rebar fell by Rs500/mt at Rs42,500/mt ex-works, amid moderate demand.
However, industry experts feel that steel sector will benefit from the measures announced by the government in Monday’s Union Budget. Seshagiri Rao, joint MD of JSW Steel and Group CFO, said the steel sector will benefit from the surge in demand due to higher outlays on infrastructure and public capital spending.
In Mandi Gobindgarh, the daily index for ingot fell by Rs300/mt to Rs35,700/mt with a decline in domestic scrap prices.