Indian basic pig iron (BPI) suppliers have continued to face challenges while securing orders in both the local and export markets, with most buyers pushing prices down further. In particular, while official ex-India BPI offers have remained unchanged this week at $450/mt FOB, traders claim that prices have declined to $400/mt FOB, seeking to exert pressure on the suppliers. “These levels are voiced by customers, but are absolutely unworkable for us, the producers,” a major Indian mill stated. As SteelOrbis reported, last week most bids for ex-India BPI settled at $410-420/mt FOB.
The latest BPI offers in the domestic market in the eastern region of India have been heard at INR 41,000/mt ($498/mt) ex-works, while in the western regions BPI prices have been at INR 40,000/mt ($486/mt) ex-works. This is around a INR 1,000/mt decline compared to the levels a week ago. In particular, on December 6, within the scope of its tender, Indian producer SAIL’s Bhilai Steel Plant has sold a 2,000 mt cargo of BPI at INR 39,145/mt ($475.4/mt) ex-works, while the previous tender for 4,000 mt of BPI was closed at INR 40,291/mt ($489/mt) ex-works on November 19.
$1 = INR 82.34