- Liquidity issues, subdued demand pressure prices
- Buyers turning to local brands amid wide price gap
A leading Indian manufacturer of ERW pipes, specialising in hot-rolled coil (HRC)-based products, has reduced its list prices of round pipes of its base grade (25-125 NB, 2.2-6 mm) across various locations for early-June 2026 sales compared with early-May 2026, BigMint learnt from market participants.
List prices stood at INR 62,000/t ($648/t) exy-Raipur, INR 64,000/t ($672/t) exy-Pune, and INR 64,000/t ($672/t) exy-Delhi, all excluding 18% GST. The revised prices are effective from 1 June 2026.
BigMint also learnt from market participants that in this revision cycle, the mill will not offer discounts from the price list at the distributor level.
Market update
Distributor-level monthly average prices of ERW pipes in Raipur dropped by INR 700/t ($7/t) m-o-m to INR 64,100/t ($673/t) compared with INR 64,800/t ($680/t) in the previous month.
Distributor-level monthly average prices of ERW pipes in Pune decreased by INR 600/t ($6/t) m-o-m to INR 64,700/t ($680/t) compared with INR 65,300/t ($686/t) in the previous month.
Trading activity remained sluggish, with purchases largely limited to immediate requirements. Market sentiment was weighed down by Eid-related holidays, labour shortages, and ongoing liquidity constraints, which slowed construction activity.
A market participant stated, “Primary pipe sales remained weak, and the significant price gap between primary and secondary brands continued to steer buyers towards lower-priced alternatives.”
Trade-level HRC prices decline m-o-m
BigMint’s benchmark assessment (bi-weekly) for HRC (IS2062, Gr E250, 2.5-8 mm/CTL) prices fell by INR 600/t ($6/t) m-o-m to INR 58,500/t ($614/t) on May 2026 against INR 59,100/t ($620/t) on April 2026.
Market sentiment remained cautious throughout the month, as buyers limited purchases to immediate requirements and refrained from making fresh commitments. Despite mills’ efforts to support prices and streamline inventories, weak end-user demand continued to weigh on the market. As a result, trading activity stayed muted, with participants largely adopting a wait-and-watch approach amid a lack of clear market direction.
Outlook
Given the lack of demand momentum, BigMint expects prices to remain under pressure in the near term. Market activity remained largely subdued as weak demand and liquidity challenges kept buying restricted to immediate requirements. The current market trend has further prompted participants to adopt a wait-and-watch approach, with most preferring to assess market direction before making fresh commitments.
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