Prices in the local Indian pig iron market have remained stable over the past week at INR 21,200/mt ($311/mt) ex-works, since the market has taken a pause after the sustained price increases observed last month and as dealers have stocked up sufficiently, traders said on Wednesday, January 4.
“After large producers completed upward revisions of prices earlier than expected last month, dealers have been fully stocked up. Hence, market activity has remained dull, while prices have remained stable amid the positive export outlook,” a Kolkata-based trader said.
Market sources said that the successful conclusion of at least a total of 60,000 mt of pig iron exports last month is providing support for local prices, with some traders forecasting that domestic supplies will tighten if the current trend in export volumes by large producers is maintained.
At the same time, billet prices, which have been showing steady gains recently and which have moved up three percent in the past week, are also expected to provide support for local pig iron prices, the sources added.
$1 = INR 68.08