RAW MATERIALS Iron Ore Pg 1 Pellets Pg 1 Scrap Pg 1 Coal ...
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TABLE OF CONTENTS & BOOKMARKS RAW MATERIALS ............................................................................................................................................................................................................ Iron Ore Pg 1 ....................................................................................................................................................................................................... Pellets Pg 1 .......................................................................................................................................................................................................... Scrap Pg 1 ........................................................................................................................................................................................................... Coal Pg 2 ............................................................................................................................................................................................................. SEMI FINISHED STEEL ................................................................................................................................................................................................... Sponge Iron Pg 3 ................................................................................................................................................................................................. Pig Iron Pg 3 ........................................................................................................................................................................................................ Billet Pg 3 ............................................................................................................................................................................................................. FINISHED STEEL ............................................................................................................................................................................................................. Rebars Pg 4 ......................................................................................................................................................................................................... Flat Steel Pg 4 ..................................................................................................................................................................................................... FERRO-ALLOYS .............................................................................................................................................................................................................. Silico- Manganese Pg 4 ....................................................................................................................................................................................... CURRENCY Pg 5 ....................................................................................................................................................................................................... STATISTICS Pg 5 .......................................................................................................................................................................................................
Transcript of RAW MATERIALS Iron Ore Pg 1 Pellets Pg 1 Scrap Pg 1 Coal ...
TABLE OF CONTENTS & BOOKMARKS
RAW MATERIALS ............................................................................................................................................................................................................ Iron Ore Pg 1 ....................................................................................................................................................................................................... Pellets Pg 1 .......................................................................................................................................................................................................... Scrap Pg 1 ........................................................................................................................................................................................................... Coal Pg 2 .............................................................................................................................................................................................................
SEMI FINISHED STEEL ................................................................................................................................................................................................... Sponge Iron Pg 3 ................................................................................................................................................................................................. Pig Iron Pg 3 ........................................................................................................................................................................................................ Billet Pg 3 .............................................................................................................................................................................................................
FINISHED STEEL ............................................................................................................................................................................................................. Rebars Pg 4 ......................................................................................................................................................................................................... Flat Steel Pg 4 .....................................................................................................................................................................................................
FERRO-ALLOYS .............................................................................................................................................................................................................. Silico- Manganese Pg 4 .......................................................................................................................................................................................
CURRENCY Pg 5 ....................................................................................................................................................................................................... STATISTICS Pg 5 .......................................................................................................................................................................................................
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 01
What happened
Monthly average global iron ore fines (Fe 62%) decreased by 5% to USD 83.95/MT, CFR China in April 2020 against last month at USD 88.1/MT, CFR China due to shift in demand from medium and high-grade ore to low-grade iron ore for cost effectiveness.
What may happen
Global iron ore fines prices are expected to remain range-bound in the near- to short-term.
What happened
Due to the extended nationwide lockdown steel mills either suspended or curtailed operations resulting in limited bookings.
SteelMint's Odisha iron ore fines (Fe 63%) assessment stands at INR 1,800-1,900/MT (ex- mines, including Royalty, DMF & NMET).
What may happen
Bulk bookings are expected to remain low on sufficient iron ore inventories and curtailed steel output.
What happened
Indian domestic pellet market was quiet for more than one month. Later towards the end of the month pellet makers from India have resumed offers in the domestic market, although domestic uptake remains slow.
What may happen
India pellet makers are constantly exploring export opportunities on dull domestic demand.
What happened
After bottoming out by March-end, imported scrap prices to Turkey rebounded sharply by over USD 45/MT in 1st half of April on tight supply and low scrap collections, although by end of April, low demand amid lockdown, inched down the prices to USD 244/MT CFR Turkey for USA HMS 1&2 (80:20)
What may happen
Continued tight supply at scrap yards is likely to be balanced by low scrap demand by mills, keeping the prices more or less firm in the near future.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 02
What happened
Dull demand and limited domestic trades resulted in less clarity on prices.
What may happen
With plants resuming operations, trade activities are expected to pick up in May.
What happened
Australian coking coal prices saw further downward movement during the past month, with prices across all categories hitting multi- month lows, as subdued demand outlook persisted globally amid the worsening Covid-19 viral outbreak.
Premium HCC prices were assessed at around US$ 109.00/mt FOB Australia at month end.
What may happen
Australian coking coal producers are hopeful that plans for easing lockdown restrictions in certain countries point to the possibility of spot demand returning as early as by the end of May.
What happened
Indonesian low-calorific value thermal coal prices have dropped to record low levels over the last month, as the coronavirus pandemic weakened demand for seaborne thermal coal in Asia.
Indonesian 4,200 kcal/kg GAR coal price plunged to around US$ 26.00/mt FOB Kalimantan at April-end.
What may happen
Although China’s seaborne imports are holding up for now, India’s coal imports from Indonesia may fall, with the country’s government actively discouraging imports.
What happened
South African thermal coal prices touched a new low with RB2 (5500kacl/kg) offers being heard at USD 43-45/MT, FoB RBCT port basis. The price plunge was majorly due to demand curbs by key importers like India amid ongoing COVID-19 outbreak.
What may happen
With easing of lockdown restrictions in many countries, South African thermal coal prices may get some support. However, a major rise is unlikely given limited demand and restricted trade.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 03
What may happen
Sponge iron prices are less likely to find support till there is limited production by furnaces. Once the plants resume full-fledged billet production, prices of sponge iron may rebound.
What happened
Dull demand and limited domestic trades resulted in less clarity on prices.
What may happen
With plants resuming operations, trade activities are expected to pick up in May.
What happened
Amid dull domestic demand and COVID-19 outbreak across the globe, all primary billet exporters were largely dependent upon China for trades. CIS billet prices witnessed an M-o- M rise of USD 9/MT and are USD 340/MT, FoB Black Sea
What may happen
India has started exempting the lockdown guidelines and gradual resumption in construction activities could drive domestic billet trades. However, exports would still dominate over domestic trade in May
What happened
What may happen
Billet prices may remain supported as most of standalone rolling mills are resuming operations, leading to good demand in spot market despite limited supply/production.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 04
What happened
Indian large mills rolled over their rebar prices for April 2020.
What may happen
Large Indian mills yet to announce their finished steel prices but there could be a correction in rebar prices for May. Whereas secondary mills are yet to resume operations in most of the locations in the central and eastern regions almost 40-50% mills have resumed operations with limited capacity utilisation.
What happened
Indian steel mills rolled over flat steel prices in April due to nation-wide lockdown. Also mills scaled down their operations owing to limited manpower
Indian manufacturers aggressively exported HRC to Vietnam, China and UAE. However, offers bottomed out on aggressive competition.
What may happen
Major Indian steel producers have kept their steel prices unchanged for May owing to limited trades in the domestic market.
What happened
Indian silico manganese prices have increased due to higher manganese ore prices. Indian suppliers have met with good demand from the export market.
What may happen
Prices may come down soon due to dull demand in the domestic market as silico manganese prices have increased too much too fast.
What happened
Indian ferro chrome demand was absent due to curtailed operations in the stainless steel units in the country. Prices have increased marginally due to increase in China.
What may happen
Ferro chrome prices will stay firm due to the increase in chrome ore prices and increase in Chinese domestic prices of ferro chrome.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 05
Currency United State Dollar(1 USD)
2020-05-10 1 Week Earlier 2 Week Earlier 1 Month Earlier 3 Month Earlier 6 Month Earlier
India (INR) 75.50 75.73 76.31 76.16 71.53 71.79
China (Yuan) 7.07 7.06 7.08 7.03 6.99 7.04
Brazil (Real) 5.73 5.45 5.59 5.10 4.30 4.20
Australia (Dollar) 1.53 1.56 1.56 1.58 1.49 1.47
South Africa (Rand) 18.35 18.74 19.03 18.02 14.91 14.72
United Arab Emirates (Dirham) 3.67 3.67 3.67 3.67 3.67 3.67
Europe (Euro) 0.91 0.90 0.92 0.91 0.92 0.91
Indonesia (Rupiah) 14969.92 14906.22 15457.88 15816.04 13703.86 14087.70
Russia (RUB) 73.47 75.29 74.49 73.47 63.55 63.84
Indian Statistics (Production/Export/Import)
Nov 19 Dec 19 Jan 20 Feb 20 Mar 20 Apr 20
Production
Coal (CIL) 50.02 58.02 63.11 66.26 84.36 -
Manganese Ore 0.24 0.29 0.22 0.25 - -
Chrome Ore 0.35 0.42 0.45 0.32 - -
Crude Steel 8.92 9.01 9.29 9.56 8.04 2.752
Export
Iron Ore Pellet 1.17 1.30 1.05 0.60 0.81 1.17
Mill Scale NIL NIL NIL NIL 0.03 Nil
Pig Iron 0.035 0.09 0.04 - 0.03 0.10
Flat Steel 0.86 0.71 0.66 - - -
Import
Scrap 0.38 0.39 0.5 - - -
Manganese Ore 0.15 0.16 0.31 0.23 0.26 -
Chrome ore 0.01 0.01 0.02 0.01 0.01 -
Flat Steel 0.26 0.39 0.37 0.3 0.3 -
Qty in MnT (Million Tons) Source SteelMint, PIB, CIL
(Provisional Data)
CONTACT DETAILS >
Raipur: #301, Jeevan Parisar, Rajeev Nagar Behind Crystal Arcade Raipur (C.G) - 492 007 India Tel: +91 97700 56666
Kolkata Block A-11, 4th Floor, FMC Fortuna Building, 234/ 3A AJC Bose Road Kolkata -700020 Telefax: +91-7044070530
Email: [email protected] | Web: www.steelmint.com Disclaimer: SteelMint has taken due care and caution in compilation of content for its web site. Information is just for reference not intended for trading purpose or to address your particular requirement. The content includes facts, views, and opinions are of individuals and not that of the website or its management. We and our content licensors are not giving investment advice, tax advice, legal advice, or other professional advice. We and our content licensors do not guarantee or warrant the accuracy, completeness or timeliness of, or otherwise endorse these views, and opinions. Users/Visitors have to make their own decisions based on their own independent enquiries, appraisals, judgement, wisdom and risks. SteelMint and its affiliates, or their employees, directors or agents shall not be liable or responsible for any loss or costs or any action whatsoever arising out of use or relying on the spot prices disseminated. 2009-2020 © SteelMint All Rights Reserved. Terms & Conditions
RAW MATERIALS ............................................................................................................................................................................................................ Iron Ore Pg 1 ....................................................................................................................................................................................................... Pellets Pg 1 .......................................................................................................................................................................................................... Scrap Pg 1 ........................................................................................................................................................................................................... Coal Pg 2 .............................................................................................................................................................................................................
SEMI FINISHED STEEL ................................................................................................................................................................................................... Sponge Iron Pg 3 ................................................................................................................................................................................................. Pig Iron Pg 3 ........................................................................................................................................................................................................ Billet Pg 3 .............................................................................................................................................................................................................
FINISHED STEEL ............................................................................................................................................................................................................. Rebars Pg 4 ......................................................................................................................................................................................................... Flat Steel Pg 4 .....................................................................................................................................................................................................
FERRO-ALLOYS .............................................................................................................................................................................................................. Silico- Manganese Pg 4 .......................................................................................................................................................................................
CURRENCY Pg 5 ....................................................................................................................................................................................................... STATISTICS Pg 5 .......................................................................................................................................................................................................
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 01
What happened
Monthly average global iron ore fines (Fe 62%) decreased by 5% to USD 83.95/MT, CFR China in April 2020 against last month at USD 88.1/MT, CFR China due to shift in demand from medium and high-grade ore to low-grade iron ore for cost effectiveness.
What may happen
Global iron ore fines prices are expected to remain range-bound in the near- to short-term.
What happened
Due to the extended nationwide lockdown steel mills either suspended or curtailed operations resulting in limited bookings.
SteelMint's Odisha iron ore fines (Fe 63%) assessment stands at INR 1,800-1,900/MT (ex- mines, including Royalty, DMF & NMET).
What may happen
Bulk bookings are expected to remain low on sufficient iron ore inventories and curtailed steel output.
What happened
Indian domestic pellet market was quiet for more than one month. Later towards the end of the month pellet makers from India have resumed offers in the domestic market, although domestic uptake remains slow.
What may happen
India pellet makers are constantly exploring export opportunities on dull domestic demand.
What happened
After bottoming out by March-end, imported scrap prices to Turkey rebounded sharply by over USD 45/MT in 1st half of April on tight supply and low scrap collections, although by end of April, low demand amid lockdown, inched down the prices to USD 244/MT CFR Turkey for USA HMS 1&2 (80:20)
What may happen
Continued tight supply at scrap yards is likely to be balanced by low scrap demand by mills, keeping the prices more or less firm in the near future.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 02
What happened
Dull demand and limited domestic trades resulted in less clarity on prices.
What may happen
With plants resuming operations, trade activities are expected to pick up in May.
What happened
Australian coking coal prices saw further downward movement during the past month, with prices across all categories hitting multi- month lows, as subdued demand outlook persisted globally amid the worsening Covid-19 viral outbreak.
Premium HCC prices were assessed at around US$ 109.00/mt FOB Australia at month end.
What may happen
Australian coking coal producers are hopeful that plans for easing lockdown restrictions in certain countries point to the possibility of spot demand returning as early as by the end of May.
What happened
Indonesian low-calorific value thermal coal prices have dropped to record low levels over the last month, as the coronavirus pandemic weakened demand for seaborne thermal coal in Asia.
Indonesian 4,200 kcal/kg GAR coal price plunged to around US$ 26.00/mt FOB Kalimantan at April-end.
What may happen
Although China’s seaborne imports are holding up for now, India’s coal imports from Indonesia may fall, with the country’s government actively discouraging imports.
What happened
South African thermal coal prices touched a new low with RB2 (5500kacl/kg) offers being heard at USD 43-45/MT, FoB RBCT port basis. The price plunge was majorly due to demand curbs by key importers like India amid ongoing COVID-19 outbreak.
What may happen
With easing of lockdown restrictions in many countries, South African thermal coal prices may get some support. However, a major rise is unlikely given limited demand and restricted trade.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 03
What may happen
Sponge iron prices are less likely to find support till there is limited production by furnaces. Once the plants resume full-fledged billet production, prices of sponge iron may rebound.
What happened
Dull demand and limited domestic trades resulted in less clarity on prices.
What may happen
With plants resuming operations, trade activities are expected to pick up in May.
What happened
Amid dull domestic demand and COVID-19 outbreak across the globe, all primary billet exporters were largely dependent upon China for trades. CIS billet prices witnessed an M-o- M rise of USD 9/MT and are USD 340/MT, FoB Black Sea
What may happen
India has started exempting the lockdown guidelines and gradual resumption in construction activities could drive domestic billet trades. However, exports would still dominate over domestic trade in May
What happened
What may happen
Billet prices may remain supported as most of standalone rolling mills are resuming operations, leading to good demand in spot market despite limited supply/production.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 04
What happened
Indian large mills rolled over their rebar prices for April 2020.
What may happen
Large Indian mills yet to announce their finished steel prices but there could be a correction in rebar prices for May. Whereas secondary mills are yet to resume operations in most of the locations in the central and eastern regions almost 40-50% mills have resumed operations with limited capacity utilisation.
What happened
Indian steel mills rolled over flat steel prices in April due to nation-wide lockdown. Also mills scaled down their operations owing to limited manpower
Indian manufacturers aggressively exported HRC to Vietnam, China and UAE. However, offers bottomed out on aggressive competition.
What may happen
Major Indian steel producers have kept their steel prices unchanged for May owing to limited trades in the domestic market.
What happened
Indian silico manganese prices have increased due to higher manganese ore prices. Indian suppliers have met with good demand from the export market.
What may happen
Prices may come down soon due to dull demand in the domestic market as silico manganese prices have increased too much too fast.
What happened
Indian ferro chrome demand was absent due to curtailed operations in the stainless steel units in the country. Prices have increased marginally due to increase in China.
What may happen
Ferro chrome prices will stay firm due to the increase in chrome ore prices and increase in Chinese domestic prices of ferro chrome.
INDIAN STEEL MARKET SCAN
May, 2020 | Pg 05
Currency United State Dollar(1 USD)
2020-05-10 1 Week Earlier 2 Week Earlier 1 Month Earlier 3 Month Earlier 6 Month Earlier
India (INR) 75.50 75.73 76.31 76.16 71.53 71.79
China (Yuan) 7.07 7.06 7.08 7.03 6.99 7.04
Brazil (Real) 5.73 5.45 5.59 5.10 4.30 4.20
Australia (Dollar) 1.53 1.56 1.56 1.58 1.49 1.47
South Africa (Rand) 18.35 18.74 19.03 18.02 14.91 14.72
United Arab Emirates (Dirham) 3.67 3.67 3.67 3.67 3.67 3.67
Europe (Euro) 0.91 0.90 0.92 0.91 0.92 0.91
Indonesia (Rupiah) 14969.92 14906.22 15457.88 15816.04 13703.86 14087.70
Russia (RUB) 73.47 75.29 74.49 73.47 63.55 63.84
Indian Statistics (Production/Export/Import)
Nov 19 Dec 19 Jan 20 Feb 20 Mar 20 Apr 20
Production
Coal (CIL) 50.02 58.02 63.11 66.26 84.36 -
Manganese Ore 0.24 0.29 0.22 0.25 - -
Chrome Ore 0.35 0.42 0.45 0.32 - -
Crude Steel 8.92 9.01 9.29 9.56 8.04 2.752
Export
Iron Ore Pellet 1.17 1.30 1.05 0.60 0.81 1.17
Mill Scale NIL NIL NIL NIL 0.03 Nil
Pig Iron 0.035 0.09 0.04 - 0.03 0.10
Flat Steel 0.86 0.71 0.66 - - -
Import
Scrap 0.38 0.39 0.5 - - -
Manganese Ore 0.15 0.16 0.31 0.23 0.26 -
Chrome ore 0.01 0.01 0.02 0.01 0.01 -
Flat Steel 0.26 0.39 0.37 0.3 0.3 -
Qty in MnT (Million Tons) Source SteelMint, PIB, CIL
(Provisional Data)
CONTACT DETAILS >
Raipur: #301, Jeevan Parisar, Rajeev Nagar Behind Crystal Arcade Raipur (C.G) - 492 007 India Tel: +91 97700 56666
Kolkata Block A-11, 4th Floor, FMC Fortuna Building, 234/ 3A AJC Bose Road Kolkata -700020 Telefax: +91-7044070530
Email: [email protected] | Web: www.steelmint.com Disclaimer: SteelMint has taken due care and caution in compilation of content for its web site. Information is just for reference not intended for trading purpose or to address your particular requirement. The content includes facts, views, and opinions are of individuals and not that of the website or its management. We and our content licensors are not giving investment advice, tax advice, legal advice, or other professional advice. We and our content licensors do not guarantee or warrant the accuracy, completeness or timeliness of, or otherwise endorse these views, and opinions. Users/Visitors have to make their own decisions based on their own independent enquiries, appraisals, judgement, wisdom and risks. SteelMint and its affiliates, or their employees, directors or agents shall not be liable or responsible for any loss or costs or any action whatsoever arising out of use or relying on the spot prices disseminated. 2009-2020 © SteelMint All Rights Reserved. Terms & Conditions
