- NALCO lowers aluminium ingot prices again
- LME aluminium falls 2.1% w-o-w
NALCO reduced its primary aluminium ingot (P1020, 99.7%) prices on 1 July, lowering the benchmark to INR 344,000/t ($3,817/t) from INR 349,000/t ($3,873/t) on 26 June, reflecting a decline of INR 5,000/t ($56/t), or 1.4%, amid continued weakness in domestic and global aluminium market trends. The prices are quoted on an ex-works basis and exclude GST.
India’s P1020 aluminium market remains supported by persistent physical tightness despite a recent correction in LME prices.
Current domestic premiums are largely aligned with the QMJP benchmark, hovering around $350/t, as lower LME prices have encouraged buyers to place spot orders and replenish inventories.
While the monsoon season is typically associated with softer demand across several end-use sectors, market participants report improved spot buying activity as consumers seek to capitalize on the recent decline in benchmark prices. This has helped maintain market liquidity despite seasonally weaker consumption trends.
On the supply side, physical metal availability continues to remain constrained. Market sources indicate that some participants have oversold volumes despite ongoing tightness, reinforcing concerns over near-term supply adequacy.
Similarly, benchmark three-month aluminium futures on the London Metal Exchange (LME) fell by $67/t, or 2.1% w-o-w, to $3,079/t on 1 July from $3,146/t on 25 June.
Leave a Reply