Although in recent weeks Indian basic pig iron (BPI) producers have been facing serious challenges in trading at their target prices, this week the first signs of price stabilization in the global market (though not durable yet) have encouraged them to make certain attempts to increase prices. Specifically, BPI offers in the domestic market in the eastern region in India have been mostly at INR 46,000/mt ($583/mt) ex-works, up INR 1,000-1,500/mt ($13-19/mt) compared to the levels valid a week ago. “The unavailability of scrap and the decreasing gap between pig iron and scrap prices have led to a good volume of demand for pig iron in India,” a local trader commented.
Export trading has remained constrained by the export duty, though the main Indian BPI producer Vedanta is said to have floated an export tender for 40,000 mt of BPI, with 20-22 July laycan. The deadline for bids is Wednesday, June 29.
$1 = INR 78.98