The major Indian billet exporting mill has closed a tender for 30,000 mt of 150 mm billet this week after a pause. The final price has been higher than expected as the highest bid has been received from a trader targeting the MENA market, Egypt in particular.
A tender has been closed at $590/mt FOB for shipment by the end of the year, a number of sources confirmed to SteelOrbis. “This price is too high for Asia,” one of sources said, adding that to be competitive in SE Asia bids should be hardly above $560/mt FOB.
“There is no demand for it [this cargo] in Asia,” another trader said. “It was booked for Egypt,” one more source said. With the freight at $70/mt, this price corresponds to $660/mt CFR or above for the Egyptian market, which sources said is workable.
Some sources reported that bids in the tender were at $580-585/mt FOB, but the final price has been settled at a bit higher.
As a result, the SteelOrbis reference price has been settled at $590/mt FOB, revised from $560-590/mt FOB reported yesterday.
