Ingot and Rebar (TMT/QST) prices remained onward bound for the second week on the trot. All across the country ingot and rebar prices have hiked by upto INR 1500 per tonne and INR 1000 per tonne respectively since 9th May. Triggered by apprehension of iron and sponge iron shortage with SC clamping down on production from about 26 mines in Odisha and likewise in Karnataka and Goa wherein all deemed lease extension from 2007 onwards has been termed illegal.

Stoppage of iron ore mining is likely to severely scuttle iron ore production for secondary as well as primary steel producers.

Sponge iron manufacturers have increased offer by INR 300-500/MT witnessing raw material (Iron ore) shortage in coming days owing to the Supreme Court's order for suspension of 26 mines.

Even though finished demand has not shown any movement as yet the rumblings in input material market is bearing impact on finished steel as well. Scrap based ingot producers even though not subject to cost pressures have nonetheless been caught in the whirl wind.

Power shortage leading to lower capacity utilization and ensuing shortage has impacted the price levels of pencil ingot as well.