Thursday, 03 March
Recent price increase by Coal India has put the sponge manufacturers in a spot of bother as the physical demand form the market is weak these recent raw material price hikes.*
will erase the option of any price cuts form the producers, instead if the demand picks up they will pass on the price hike to end customers. Now the market expects prices to stay at the current levels with a minute possibility of any decrease. Also the iron ore supply is also tight in the domestic market because of which the iron ore suppliers are not reducing the rates.
Comment by Manufacturers/Traders: – “The recent move by CIL has erased the margins, we will take a call to increase the prices in the coming months as March historically is a low trading month, but we certainly do not intend to increase the prices when demand is weak as it will only hurt the fragile demand scenario.”
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