Post new year holidays, domestic HRC prices have surged up by INR 500/MT over last week. Current 2.5 mm HRC (IS2062) offers are assessed at INR 31,500-32,000/MT (ex-Delhi), INR 30,500-31,000 (ex-Mumbai) and INR 31,000 (ex-Chennai). All prices include excise of 12.5%. The key reason behind the same being suspended imports amid MIP (Minimum Import Price) anticipation.
“Talks of MIP in Indian steel circuit have helped domestic steel prices to move up a bit. However, this will be sustainable only if MIP is announced, otherwise domestic prices will fall once again”, quoted a trader based in Delhi.
As per market sources, SAIL is likely to announce rebate of INR 1,000/MT on HRC, leading to further push up in prices.
“Indian steel mills have increased prices just to check if there is any buying interest at these levels, if not prices will retreat once again to previous levels”, quoted a trader based in Mumbai.
2.5 mm HRC Prices as on 4 Jan’16
|
Particulars |
Prices |
| Ex-Mumbai | 30,500 – 31,000 |
| Ex-Delhi | 31,500 – 32,000 |
| Ex-Chennai | 31,000 |
Prices in INR/MT
Source: SteelMint Research
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