Although the pellet market in Raipur is generally weak, prices are holding steady. Steelmakers have plenty of inventory, so there isn’t much urgency in sourcing. Due to soft downstream demand and recent corrections in sponge iron and billet prices, buyers remained cautious, limiting their purchases to immediate requirements. Although iron ore fines prices rose at the recent OMC auction, this has not created a price increase for pellets due to the large quantities of iron ore available to steelmakers, along with muted steel demand at present.

The pellet producers are not into aggressive discounting, but rather maintaining current offer levels, reflecting a wait-and-watch approach. With spot inquiries thin and slow negotiations, price discovery remains limited.

So, it has been anticipated that the pellet market in the region is likely to remain range-bound with stable prices and low trading activity.