Indian HRC prices remained stable this week. However, demand remained subdued on seasonal slowdown. Current offers for 2.5mm HRC (IS 2062) are assessed at INR 33,500/MT (including excise of 12.5%) at Mumbai and INR 34,000/MT (including excise of 12.5%) at Delhi.
Mixed sentiments persist in market. Traders and stockists expect domestic prices should decline by INR 500-1,000/MT in order to match imports. On the other hand steel makers are hopeful that government may impose a safeguard duty, which will restrict imports and give boost to domestic prices.
Trade Log: Week 30:
1.Current offers for 2.5mm HRC (IS 2062) are at INR 33,500/MT (Including excise of 12.5%) at Mumbai, Net Sales Realization (NSR) is around INR 28,000-28,500/MT (ex- factory).
2.Imported offers from China for commercial quality (SS400) was assessed at USD 325/MT CIF India. 10% import duty applicable on imports from China.
3.Limited offers from Korean suppliers were reported in the market this week. Offers were assessed at USD 370-375/MT CIF India for September shipments. Applicable import duty is 1.2%.
4.Russian suppliers are not very active in Indian market due to high offers. No firm offers, in the market but it should not be less than USD 360-370/MT CIF India. Applicable import duty is 10%.
5.Indian exporters hold their offers at USD 400/MT FOB. A small parcel of 5,000-6,000/MT was sold to Middle East last month.
6.Indian export of HRC in June was recorded at 51.41 MnT and import at 196.80 MnT
7.Steelmakers are optimistic that government will impose safeguard duty on flat steel products in order to save domestic industry.
Ex-Mumbai prices; 12.5% Excise included
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