Mining News Pro - Rashtriya Ispat Nigam Limited (RINL)- state owned steel maker under the Ministry of Steel, had invited a tender for export of 10,000 MT Billets, 25,000 MT Blooms and 5,000 MT Wire Rod. The due date for bid submission was till 25 Sep’18 at 11:00 hrs. According to market sources report to SteelMint, the company has gone for retendering amid limited participation. The new tender floated has due date of 03 Oct`18.
According to Mining News Pro -Rashtriya Ispat Nigam Limited (RINL)- state owned steel maker under the Ministry of Steel, had invited a tender for export of 10,000 MT Billets, 25,000 MT Blooms and 5,000 MT Wire Rod. The due date for bid submission was till 25 Sep’18 at 11:00 hrs. According to market sources report to SteelMint, the company has gone for retendering amid limited participation. The new tender floated has due date of 03 Oct`18.
Presently the mills in South East Nations - Thailand, Malaysia & Philippines have turned towards CIS origin Billets owing to competitive prices rather than Indian billets, shared west India based market participants.
SteelMint in conversation with Indian induction route billet suppliers being observed that, presently buying interest from the South East Nations is limited and the inquiries are at minimal prices, which is not consumable for Indian producers owing to better margins in domestic market.
As per one of the major Billet exporter in West India, Gujarat the local price realization in billets is about USD 495-500/MT (INR 36,000/MT), while bids from South East Asian nations is about USD 475-480/MT FoB India. Hence mills are preferring domestic sales rather than going for export.
Similar comments were received from the South India based parties where no fresh export deals were reported as domestic price realization is quite healthy and close to INR 37,500-38,000/MT (USD 517-525) ex-works, Chennai.
Philippines total Billet imports during Jan-Jul`18 was about 1,887,062 MT, in which the major exports were made from Russia at 853,484 MT (45.23%).
Further, the billet imports in Thailand stood at about 1,554,722 MT during Jan-Aug`18 and the Iran`s export was at 855,209 MT (55%).
Global Billet Market Overview:
-- The current export offers of Iranian Billets hovering at USD 460-465/MT FOB, size 130*130 mm & Grade- 3SP.
-- Offers for CIS Origin Billets evaluated at USD 470-480/MT FOB, size 125*125 mm & Grade 3SP.
-- Indian induction route Billet export deals to Nepal are taking place at around USD 480-485/MT ex-mill, East India, equivalent to USD 510/MT CFR Raxaul border (Nepal).