Induction furnaces in Punjab will pay more for electricity as private powers plant cheaper rates is not available further. SteelMint learned that private power was cheaper by Rs 1.10/unit from Government fixed power tariff that was available to Steel Industry from open auction for very short term.
High power cost will impact the MS Ingot cost higher by Rs 500-700/MT. Ingot manufacture based in Mandi told, 'Power tariff were only available for short term however many manufacturer have passed on the discount to increase the sales. MS Ingot price is under pressure due to higher cost of scrap and sponge prices'.
MS Ingot prices in Mandi Gobindgarh open at Rs 32400/MT (basic) but soon touch Rs 32700/MT. Market participant believes this short term gain will not impact other market price as finish demand is not proportion to high raw material price. Raipur MS Ingot is offered stable at Rs 27600-700/MT (Basic) Similarly offers in Mumbai and Durgapur is also stable.
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