Domestic prices of Flat Steel remain unchanged with only a marginal discount offered in North region to clear the inventory. No major changes are expected for rest of the month.
Flat steel prices across major trading regions in the country have remained more or less stable for this month, as announced, in the beginning of the month.However, companies had to offer discount of about INR 300-500/MT in Northern region, to clear the inventory. Market traders expect no major price changes for the remaining period of this month.
Currently prices of HRC 2.5MM size are in the range of INR 42,500-43,500/MT (ED including taxes extra, Basic INR 37,800) across all major cities in the country, while prices for CRC 0.7MM and above sizes are in the range of INR 48,000-49,500/MT (ED included taxes extra, Basic INR 42,700).
SteelMint learned from sources that inventory of Tata Steel has risen to approximately 25,000-30,000 MT in the Northern region owing to their aggressive supply, while inventory of Steel Authority India Ltd (SAIL) has fallen due to a rebate offered to MOU holders in this region.
Imported HR Coil in India is being offered at around USD 560-570/MT CNF Mumbai (INR 34,720-35,340/MT) but lower demand didn’t attract traders to take position in this market.
Some of the market sentiments of traders are as follows:
“We are not finding buyers of the material as the demand for material has slowed down. Rebate in prices will have some positive effect.” –Trader in Ludhiana
“Demand is good as compared to previous month and is picking up slowly. Major buying is seen from small traders and fabricators.”-Trader in Hyderabad
“Frequent power cut in Tamil Nadu is affecting production.”- Trader in Tamil Nadu
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