Domestic sponge iron capacity utilisation is showing a downward trend due to weak demand. Stand-alone players are also showing a trend towards forward integration and ceasing to be pure merchant market players. Dull market conditions caused by slumping demand are posing a serious concern for the industry while a raw material crisis is hampering production. At Tata Sponge Iron Limited, the primary reasons for low capacity utilisation are non-availability of ore and high input costs, according to D P Deshpande, MD, Tata Sponge Iron. He expects DRI prices to remain at Rs 19,000 levels unless infra projects get a push. The July 2014 issue also explores the retail route taken by steel companies keeping in mind changing consumer behaviour and the enriched technology required by pellet-makers to convert low-grade ore at viable rates. Also find the regular sections on coking coal prices, ferro alloys and corporates.