Local Indian pig iron prices have remained stable during the past week at around INR 16,500/mt ($243/mt) ex-works as producers indicated that they are keeping their base prices unchanged through next month, traders said on Wednesday, January 27.
"Market activity and volumes have been falling, particularly for foundry grade pig iron. However, most dealers have had no option but to keep prices stable, as producers have decided to maintain their prices unchanged," a Kolkata-based trader said.
"Producers have also stopped offering volume discounts in the current low-volume market," the trader said.
Market sources said that dealers will have no option but to restart discounting as market activity remains sluggish.
With billet prices falling on average by INR 200-400/mt ($3-6/mt) across most markets in India and amid reports of construction activity remaining sluggish, the off-take of steel grade pig iron in India is expected to remain low, the sources added.
No new export tenders or successful conclusions of pending tenders have been reported in the market during the week, the sources said.
$1 = INR 68.04