Prices in the local Indian pig iron market have remained unchanged for the third consecutive week at INR 30,000/mt ($408/mt) ex-works, amid weakening of market sentiments and apprehensions export shipments tapering off and excess supplies, traders said on Wednesday, October 17.
Market sources said that reports on government data showing that Indian pig iron exports had slumped 64% during January-September 2018 and absence of any export tenders from any of the large producers over the past two weeks have created a bearish mood in the market.
The negative outlook is reflected in continuing offers of discounts of INR 200/mt in central Indian market and indication that dealers are finding it difficult to push volumes in the market.
“Local pig iron prices were maintaining at current levels but downside risks have increased as most producers are reporting higher production and in absence of export shipments more material was expected to be diverted to the local market triggering supply side pressures in the coming weeks,” a Kolkata based trader said.
$1 = INR 73.6