Import of wire products, which donot cover under imposition of MIP under chapter/ code 7217 increase significantly in May’16 . Also, total import of bar and rod up by 4%.
As per customs data available with SteelMint, import of wire products surge sharply by about 85% to 24,600 MT in May’16 as compared to Apr’16 under the chapter/HS code 7217, upon which government exempted imposition of MIP.
However, in another code/ chapter i.e. 7227, in which government imposed MIP, import of wire material fall by about 30% to 20,600 MT in May’16 against Apr’16.
Meanwhile, total bar and rod import to India was slightly up by about 4% in May’16 as compared to previous month and stood at 0.11 MnT.
Government imposed MIP on bar and rod including wire rod under chapter/HS code 7213, 7214 and 7227 in the range of USD 449-455/MT.
Indian primary producers are offering 6mm wire rod material at INR 30,500-31,000/MT (USD 455-465/MT) in Delhi/ NCR which is close to MIP. Prices are basic, freight included.
While, secondary wire rod producers in Raipur and Durgapur are available at INR 26,200/MT and 24,400/MT respectively for 5.5 mm material. Price are basic.
In the global market, wire rod is offered at around USD 312/MT, FoB China main port, falls by about USD 110-115/MT in a month’s time.
Bar and rod import to India during Dec’15-May’16
| Month | Alloy BAR AND ROD(CH-7228) | Non Alloy – BAR AND ROD(CH-7214) | Non Alloy – BAR AND ROD-Coil(CH-7213) | Other Non Alloy – BAR AND ROD(CH-7215) | WIRE of alloy Steel(ch-7227) | WIRE of Non alloy Steel(CH-7217) | Grand Total | M-o-M Change |
| Dec’15 | 34,500 | 28,500 | 6,500 | 1,300 | 56,200 | 11,900 | 1,38,900 | |
| Jan’16 | 46,700 | 3,200 | 4,600 | 1,300 | 76,400 | 14,800 | 1,47,000 | +6% |
| Feb’16 | 36,800 | 23,700 | 3,200 | 700 | 65,200 | 15,800 | 1,45,400 | -1% |
| Mar’16 | 33,500 | 9,700 | 2,800 | 1,500 | 57,200 | 11,800 | 1,16,500 | -20% |
| Apr’16 | 41,300 | 18,300 | 2,300 | 3,000 | 29,300 | 13,300 | 1,07,500 | -8% |
| May’16 | 40,300 | 22,000 | 2,200 | 2,200 | 20,600 | 24,600 | 1,11,900 | +4% |
Quantity in MT, provisional data
Source: Custom data, SteelMint Research
Leave a Reply