Ex-India billet prices have increased over the past week amid a slight improvement in sentiments with a few sellers reporting successful sales at better-than-expected prices even though some have remained skeptical of the sustainability of the buying activity, SteelOrbis learned from trade and industry circle on Wednesday, November 26.
Ex-India billet reference prices have increased to $430-440/mt FOB, up by $5/mt on average over the past week, with some bookings reported, signaling improved market conditions, while there were almost hardly any trades over the previous two to three weeks.
For example, a government-run eastern India-based integrated mill held a tender for 30,000 mt of prime concast billet, receiving the highest bid at $435/mt FOB, the sources said.
Similarly, an Odisha-based mill reported a spot sale of 20,000 mt to a trader at around $430/mt FOB.
“There is price stability in key Asian destinations. But the positive is that buyers are slightly more active. Whether deal prices and buying volumes will improve will become clearer in a few more weeks,” an Indian source said.
“Our assessment is that Indian exporters will await further consolidation of the ex-India price line before increasing export allocations, as local sales are improving both in terms of volumes and realizations,” he added.
Local merchant billet trade prices have increased for the second consecutive week, up INR 200/mt ($2/mt) to INR 38,500/mt ($432/mt) ex-Mumbai, and also up INR 200/mt ($2/mt) to INR 35,900/mt ($403/mt) ex-Raipur in the central regional market.
