According to Mining News Pro -Indian Sponge iron export offers to Bangladesh reported to be firm on steady demand, fluctuating Indian currency & slight fall in domestic sponge prices. On an average India`s annual sponge iron export to Bangladesh is about 250,000 to 300,000 MT.
As per exporters, buying interest is supported at firm prices. Meanwhile, Indian currency continues to remain volatile & is trading at 73.5 against US dollar.
The latest export offers for FeM 78-80 sponge iron hovering at USD 340/MT CPT Benapole (dry port of India & Bangladesh), equivalent to USD 360/MT CFR Chittagong, Bangladesh. The prices are more or less similar against SteelMint`s last week assessment at USD 340-345/MT CPT & USD 360-365/MT CFR.
As per an exporter, average volumes have been booked in current week by major mills based in Chittagong & Dhaka at an average price of USD 340/MT, CPT. However as the rupee volatile & also domestic prices slide, the export offers are more or less firm, he mentioned.
Sponge iron prices in Indian domestic market have slightly fallen by INR 500/MT (USD 9.5) Week-on-Week, following subdued demand & rising supply.
The current offers for FeM 78-80 Sponge iron evaluated at INR 22,800-23,000/MT ex-mill at Durgapur & INR 22,000-22,200/MT ex-mill in Rourkela, East India.
Meanwhile for same grade prices in other major markets are at around INR 22,800-23,000/MT ex-Raipur, Central India & INR 21,500-21,700/MT ex-Bellary, South India.
Market participants anticipate, Indian sponge iron prices to find support over stable prices of Iron ore & resumption in demand for pellet exports. Also seasonal rise in global scrap prices may support Indian sponge demand & prices as well.
Imported scrap offers to Bangladesh reported at around USD 375-380/MT, CFR Chittagong for containerized Shredded scrap.
