Indian MS Plate manufacturers prefer to hold offers amid high volatility in Indian currency. Current offers for 10-20 mm MS Plate are assessed at INR 30,000-30,500/MT ex-factory.
Indian currency that has depreciate to 20 months low; currently trading at 64.2/USD, will make import dearer by about 2.5-3%. Indian manufacturers are hopeful that firm offers from Chinese and Korean mills coupled with depreciating Indian Rupee should hold domestic offers.
Secondary Plate mills located in Mumbai are offering Prime MS Plate at around INR 28,500-29,000/MT ex-factory. These mills generally use imported slabs and then re-roll it to MS Plate.
Import Offers firming up
Import offers from China, Korea and Indonesia have firmed up post rally in Iron ore prices. Importers beleive that rising Iron ore and oil prices in the global market will leave very little scope of correction in steel prices in coming weeks.
Current offers from China are assessed at around USD 395-400/MT, CIF (China attracts an import duty of 7.5%). Whereas, offers from Indonesia are in the range of USD 405-406/MT, CIF India (zero import duty due to prefential trade agreement with ASEAN countries).
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