Local Indian pig iron prices have remained stable during the past week at INR 16,500/mt ($243/mt) ex-works amid low market activity as buyers have been waiting to see the short-term price direction, traders said on Wednesday, February 10.
"Buyers have stayed away from the market for most of the week. The market is giving conflicting signals and buyers have been averse to taking risks," said a Kolkata-based trader.
"Confusion has deepened as some producers lowered their pig iron prices, while others increased their quotations. With no direction evident, market participants have adopted a wait-and watch policy," the trader added.
According to market sources, while Neelachal Ispat Nigam Limited (NINL) announced a price reduction of INR 500/mt ($7/mt) early in the month, another major producer Rashtriya Ispat Nigam Limited (RINL) last week announced a price hike of INR 1,000/mt ($14/mt), confusing dealers.
Some market sources have said that Steel Authority of India Limited (SAIL) has put out an offer for 15,000 mt of steel grade pig iron at INR 200/mt ($3/mt) higher than the average dealer price.
Market participants are waiting to get an indication of whether the higher price levels will attract any takers before they themselves decide to conclude fresh bookings, the sources said.
$1 = INR 67.91