Price when posted : NSE: Rs. 149.15
Sunday 17 September 2017
Jindal Steel and Power Ltd (JSPL) has managed to receive response above market expectation for its 50,000 MT pellet export tender which expired today. Company had recently offered this cargo via an e-auction for mid October shipment.
Jindal Steel received highest bid for its 50,000 MT pellet export tender at around USD119/MT, CFR China. These prices are above market expectation as index has dropped in last few trading sessions. Current index for 62% Fe iron ore ﬁnes is at around USD 69.5 /MT, CFR China for November and USD 70.95 /MT, CFR China for October.
This deal may increase the pellet premium in China. Last premium was at around USD 41- 42/DMT, CFR China. This deal may push the premium at around USD 45-46/DMT, CFR China.
Jindal has received fairly good bid based on index. We are getting an indication of USD 116-117/MT, CFR China , said one of the trader based in India.
Last deal by Jindal Steel was settled at around USD 121.5/MT for September end to early October shipment when index was USD 78/MT for 62% Fe iron ore ﬁnes on CFR China basis.
Jindal is one of the largest pellet producer in India with an annual capacity of 9 million tonnes. Company exported 1.43 MTpellets during Jan—Aug 17.
Demand for high grade ore remains intact in China
The reduced use of sinter and environmental control policies in China have forced the industry buying turn to the better quality feeders to curb the hazardous levels of pollution. Moreover according to reports Beijing in its efforts to look green before The National People s Congress in Oct 1 8 is believed to have ordered the mills to cut down on their sintering units nearby the capital, which has forced them to evaluate the other options like lump or pellet as feeders.
The Chinese manufactures are using high grade material to mitigate the increased coking coal prices as well resulting in favor of Indian pellet exporters. The increased demand from China for high grade material has pushed the pellet prices to its record high in India.
Source: Steel Mint
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Sunday 17 September 2017
Jindal Steel and Power Ltd (JSPL) has managed to receive response above market expectation for its 50,000 MT pellet export tender which expired today. Company had recently offered this cargo via an e-auction for ...
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