Sponge iron prices at FY17 high; up 8% in last one week

Sponge iron prices have increased by nearly 8 percent in the last one week. The prices have risen to Rs 13,000 per tonne from Rs 11,350 per tonne at the same time last quarter. CNBC-TV18’s Nigel D’ Souza reports that some lack of rake availability could have also moved up the prices.The steel prices, too, have risen, but only by 2-3 percent. The companies using sponge iron steel will not only benefit from this rise in realisation, but also from using thermal coal. The alternative to thermal coal is cocaine coal, prices of which have doubled quarter-on-quarter. Watch video for more...