This week domestic flat steel market remained gloomy with limited trades being reported. Dull buying and sluggish demand prevailing in traders market resulted to bearish sentiments in domestic market.
Last week major Indian mills have announced price hike of upto INR 500/MT (USD 8) for June deliveries amid higher iron ore and coking coal prices.
However hike in flat steel prices have not yet absorbed in the traders market. Traders remained distressed since end users are reluctant to purchase the material at higher prices.
Currently trade reference prices (basic) for HRC (IS2062) 2.5 mm-8 mm are assessed at INR 46,000/MT (ex-Mumbai), INR 46,200-46,300/MT(ex-Delhi), INR 46,500/MT (ex-Chennai).The prices mentioned above are basic prices excluding GST @ 18%.
Trade reference prices (basic) for CRC (IS513) 0.9mm is hovering in the range of INR 51,500/MT (ex-Mumbai),INR 53,500/MT (ex-Delhi) and INR 52,500/MT (ex-Chennai).The prices mentioned above are basic prices excluding GST@18%.
Although in fewer regions domestic flat steel prices remain unchanged and traders are selling the material at previous prices.
A trader based in Mumbai commented that,”Hike in flat steel prices in the month of June has not shown its effect in traders market yet over slow buying. It is expected that prices might increase next week”.
In the month of May, mills announced a price hike of INR 750-1000/MT (USD 11-15).However later in the month, prices in traders market weakened by INR 500/MT amid limited trade activities.
Leave a Reply